Digital Realty in Malaysia
Digital Realty Launches New Malaysia Operations, Expanding Southeast Asia's Digital Connectivity
Anonymous
Digital Realty, the world's largest cloud- and carrier-neutral data center company, officially launched its Malaysia operations on June 8, 2026, in Cyberjaya. The company plans to build out roughly 32 megawatts (MW) of data center capacity, connecting Malaysia to its global network for the first time, according to GlobeNewswire.
The launch puts Malaysia at the center of Southeast Asia's fast-growing digital infrastructure race. Malaysia's data center market is forecast to grow by USD 7.47 billion at a compound annual rate of 22.9% between 2025 and 2030, according to analysts at Technavio.
From Acquisition to Launch in Six Months
Digital Realty moved fast. In January 2026, the company bought CSF Advisers, the owner of the TelcoHub 1 data center in Cyberjaya, according to GlobeNewswire. By June, it had formally opened the site under its own brand and folded it into PlatformDIGITAL®, the company's global data center network.
The Cyberjaya campus now has three parts. The KUL10 facility — the old TelcoHub 1 — currently runs at 1.5 MW and is set to double by late 2027. The new KUL11 building adds 15 MW, built specifically for AI and high-performance computing. A third building is planned on 1.6 acres of adjacent land, according to Benzinga.
Cyberjaya's Dense Fiber Network Draws Global Operators
Cyberjaya is not just another data center zone. The area hosts over 6,000 fiber cores and more than 40 network service providers, including AWS, Google, and the Malaysia Internet Exchange (MYIX), according to Weekly Voice. That density of connections makes it the top choice for businesses that need fast, reliable links across Asia.
Serene Nah, Digital Realty's head of Asia Pacific, said the company brings "global platform, operational expertise, and long-term investment approach into the local market." The site is designed to help companies move from older IT setups to hybrid cloud and AI-driven systems, according to Daily Guardian.
Malaysia's Digital Ambitions Fuel a RM144 Billion Investment Wave
Digital Realty's launch is one piece of a much bigger national push. Between 2021 and mid-2025, Malaysia's investment agency MIDA approved RM144.4 billion in data center and cloud investments. In 2025 alone, Malaysia locked in US$21 billion in approved digital investments, according to GlobeNewswire.
YB Gobind Singh Deo, Malaysia's Minister of Digital, attended the Cyberjaya launch and called Malaysia a "trusted digital bridge." He said growth must happen "while safeguarding national interests, data governance, and digital sovereignty." The government also expects the digital investment surge to create more than 31,000 high-value jobs for Malaysians.
Energy Demand and Sovereignty Concerns Shadow the Boom
The rapid growth comes with real trade-offs. Natural gas generation in Malaysia surged 50.5% year-on-year to power new data centers, raising concerns about the country's 2050 net-zero goals. In response, Minister Gobind Singh Deo added state governments to the national Data Centre Task Force to manage local energy and water pressures, according to Benzinga.
Digital Realty says its new KUL11 building is designed with high energy- and water-efficiency standards. Malaysia's total data center capacity is also forecast to reach 2.53 gigawatts by 2030, up from 1.26 GW in 2025. How the country powers that growth — cleanly — remains the central question, according to GlobeNewswire.
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