Malaysia has just experienced a 'historic moment' in its digital transformation journey.

Malaysia aims to become a regional hub for artificial intelligence development. (Source: Reuters)

On December 12, Malaysia launched the National Artificial Intelligence (AI) Office to formulate policies and address regulatory issues, thereby accelerating the realization of its goal of becoming a regional AI development hub.

Speaking at the launch event, Malaysian Prime Minister Datuk Seri Anwar Ibrahim said that this is a historic moment in the country's digital transformation journey. The office will act as a specialized agency on AI to develop strategic plans, conduct research and development, and monitor regulatory compliance, among other activities. In its first year, the office's top priority will be to develop an AI code of ethics and governance framework, and the AI ​​Technology Action Plan 2030.

On the same day, the Malaysian government announced strategic partnerships with six companies that have implemented data center, cloud computing and AI projects in Malaysia, including Amazon, Google and Microsoft. The Malaysian Investment Development Authority (MIDA) said digital projects have helped boost the Malaysian economy this year with 71.1 billion ringgit ($16.06 billion) of approved investments in the information and communications sector.

In 2024, Malaysia attracted billions of dollars in investment from global technology companies to build critical infrastructure to meet growing demand for cloud computing and AI services.