SoftBank eyes $50bn AI push in Malaysia

SoftBank Group is discussing a $50 billion investment plan in Malaysia’s technology sector that would center on artificial intelligence and data centers. Malaysian Prime Minister Anwar Ibrahim said the prospective spending would focus on AI, new technologies and data centers, positioning Malaysia as a major hub in SoftBank’s global AI infrastructure strategy. The plan has been framed as a single $50 billion program rather than a series of smaller initiatives.

Anwar said the investment concept was discussed during a videoconference with SoftBank Chairman and CEO Masayoshi Son. Anwar said Son had picked Kuching, in Sarawak, and locations in peninsular Malaysia as sites for the planned projects.

Anwar has described the plan as earmarking spending across Sarawak and peninsular Malaysia, with Kuching singled out as a key location. He has not specified how the $50 billion would be divided between these regions, nor has he disclosed a timeline or projected job count linked to the projects. The government has emphasized that workforce training will be needed to move Malaysia further along the technology value chain.

The planned Malaysian program would sit alongside SoftBank’s broader AI infrastructure build-out in other regions. Its telecom unit is already constructing data centers in Hokkaido and in Sakai, Osaka, while the group is associated with large-scale data-center-focused projects in the U.S. and Europe. The Malaysian initiative is presented as part of this wider expansion in digital infrastructure.

SoftBank’s discussions in Malaysia follow a framework agreement signed in Kuching on Oct. 8 with Singapore-based Grab and Petroleum Sarawak Berhad (PETROS). That agreement aims to explore an AI and digital infrastructure platform in Sarawak, including AI computing services and advanced technologies. PETROS, the master developer of the Kuching Low-Carbon Hub, is the partner on the energy side of the prospective project.

The Sarawak framework carries no investment price tag and explicitly states that it does not obligate the companies to enter into definitive agreements or to implement the contemplated project. The document notes risks such as difficulties in securing suitable land, competitively priced and reliable power, connectivity or contracted customer demand. As a result, the $50 billion figure cited by Anwar is not tied to any binding commitment under that framework.

The SoftBank talks come as Malaysia is seeking to become an “AI nation” by 2030. The government has launched a national AI action plan to strengthen domestic AI capabilities and underlying infrastructure. Officials present the prospective SoftBank investment as consistent with this policy direction aimed at deepening the country’s role in global digital value chains.

Malaysia has already attracted substantial data-center-related capital. From 2021 through the first half of 2026, data-center-related investments reached 385.7 billion ringgit, about $94 billion, based on figures from the Malaysian Investment Development Authority. Global technology companies such as Amazon (AMZN) Web Services, Microsoft (MSFT) and Google (GOOGL) have announced large-scale data center and cloud investments in the country, providing a backdrop for SoftBank’s prospective $50 billion plan.