ðŸ‡ðŸ‡° Chinese, 2 November 2026, offshore data
Malaysia Becomes Unlikely Hub for China's Tech Giants
Malaysia has become a hub for China's tech giants, with over 65 data centers in the works, despite US restrictions on exporting advanced chips.
The transformation is most evident in Johor, a southern state in Malaysia that is at the center of the construction boom. The state has 65 data center projects in various stages of operation, construction, or planning, according to the state’s investment agency, Invest Johor.
These facilities have consumed over 2 gigawatts of power, enough to supply over a third of Malaysia’s households. If all planned projects are completed, the demand could exceed 10 gigawatts, making it one of the world’s largest data center clusters.
US tech giants like Microsoft, Google, and Oracle are investing heavily in Malaysia to be closer to Asian clients, while Chinese companies like ByteDance, Tencent, and Alibaba are using the country as an offshore computing hub.