Equinix has advanced into the Malaysian market with plans to build a new Johor International Business Exchange data centre, JH1 and will intially invest US$40 million ($58 million)
To kick off its business, JH1 has allocated approximatly US$40 million ($58 million) and is expected to start its services in the first quarter of 2024, presenting 500 racks and a total of 1,960 square metres of colocation space.
According to Equinix, Malaysia’s digital economy is predicted to reach US$50 billion in value by 2025 and is expected to contribute at least 25.5% to the nation’s gross domestic product (GDP) in the same year.
Johor Chief Minister Datuk Onn Hafiz Ghazi says while the digital economy represents a catalyst for the Malaysian economy, data centres are integral in supporting digital ecosystems and their sustained growth.
Equinix’s growth in Malaysia is consistent with the MyDIGITAL plan created by the Malaysian government to facilitate the rapid development of digital goods and services.
The data centre provider is currently making their second effort to become part of the Association of Southeast Asian Nations (Asean), after having recently announced their plans to extend their reach into Indonesia. The move allows Equinix to provide the digital infrastructure necessary for the digital development of the region.
Equinix president Asia Pacific Jeremy Deutsch says establishing a presence in Johor strengthens Equinix’s leadership position in Asia-Pacific within a strategic market such as Malaysia.
“I would like to express our gratitude to the Digital Investment Office (DIO), Invest Johor, and Tenaga Nasional Berhad (TNB) for their assistance and support,” said Equinix president Asia Pacific Jeremy Deutsch.” said Deutsch
The unveiling of Equinix’s new IBX data centre in Johor will add to the company’s expansive worldwide presence of over 245 data centres in 71 metropolitan areas and 32 countries. It will also allow Equinix’s more than 10,000 customers to securely deploy, interconnect, and grow their digital infrastructure within a swiftly developing economy.
Malaysia Digital Economy Cooperation (MDEC) CEO Mahadhir Aziz says the new upcoming facility will enhance Malaysia’s capabilities and further strengthen the country’s digital infrastructure backbone, in line with the new national strategic initiative, Malaysia Digital.
“MDEC will strive to facilitate further effective collaborations in our bid to firmly establish the nation as the digital hub of Asean.” he said.
JH1, a two story building, is situated at the Nusajaya Tech Park in Iskandar, Johor lying 15 kilometres away from Singapore, thus allowing the data centre to meet the extra needs of organisations in Singapore as well as the requirements of Malaysian citizens.
Equinix recently completed the second phase of the ME2 International Business Exchange data centre expansion in Port Melbourne, Victoria.
The company presently has 51 data centres scattered in 13 major cities throughout the Asia-Pacific area, including Australia, China, Hong Kong, India, Japan, Korea, and Singapore abd has declared plans to expand into Chennai in India and Jakarta in Indonesia in 2022,
