Huawei Malaysia Paving The Way Towards Enhancing Digital Economy - MIDA | Malaysian Investment Development Authority
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Huawei Malaysia Paving The Way Towards Enhancing Digital Economy

Huawei Malaysia Paving The Way Towards Enhancing Digital Economy

30 Dec 2021

Human lives have been greatly facilitated by the presence of digital technologies resulting from studies and research undertaken by experts worldwide.

Malaysia entered the digital era in 1996 with the establishment of the Multimedia Super Corridor (MSC).

The nation has since recorded many success stories and attracted both domestic and foreign information and communications technology (ICT) companies to invest and set up operations across various economic zones in the country.

Malaysia is also advancing towards the fourth industrial revolution (IR 4.0). In 2018, the Ministry of International Trade and Industry introduced the National Policy on Industry 4.0 to transform the manufacturing industry landscape over the next decade and ensure the seamless adoption of IR 4.0 technologies.


Huawei Technologies (Malaysia) Sdn Bhd (Huawei Malaysia) is among the stakeholders that responded to the government’s call to advance towards IR 4.0 technologies and make an impact in the nation’s digital transformation.

Its chief executive officer Michael Yuan told Bernama the disruptions and challenges caused by the COVID-19 pandemic have made it crucial to amplify digitalisation efforts to allow for a measure of continuity for society, businesses and the government.

He said due to the pandemic’s domino effect, there was an urgency to bridge the digital divide due to the dramatic increase in digitalisation to accommodate remote interactions and business activities conducted via digital platforms and technologies.

“In the year 2020, the digital economy went on overdrive due to the pandemic which gave rise to new digital businesses and innovative solutions. Brick-and-mortar companies pivoted online and Malaysians at large had to go virtual for their daily needs, including for business, entertainment, education and healthcare purposes.

“This is where we see the importance of developing and enhancing IR 4.0 technologies, along with the rapid advancement of disruptive technologies which have proven their capabilities to transform the nation’s economic landscape significantly,” he said.


Yuan said since the establishment of Huawei Malaysia 20 years ago in 2001, it has had an illustrious journey, with the company helping the nation to deploy 3G and 4G networks benefiting the public, providing training to raise ICT skills across various industries and working closely with various stakeholders to advance Malaysia’s digital economy.

“Our journey took a pivotal turn when we helped to deploy the cutting-edge 3G network nationwide beginning 2008. Since then, we have taken on various major roles in supporting the transformation of Malaysian businesses and the overall economy.

“In 2012, we proceeded to build Malaysia’s first 4G network and in the process, consolidated the best practices captured from our experience in markets across the world. In the same year, we opened the Huawei Malaysia Global Training Centre in Cyberjaya, which is our first global training facility to be established outside of China,” he added.

Huawei Malaysia believes that 5G, Cloud and AI as well as Digital Power are the foundation to a Green and Sustainable Digital Economy. It has been cooperating with national telco operators since 2019 to explore new opportunities from the fifth generation of telecommunications network (5G) technology and business.

“We installed the first batch of 5G sites in Langkawi and set up the 5G showcase to introduce the most advantageous 5G use cases to Malaysia. We also worked together with Maxis on the 5G Smart Airport at KLIA (Kuala Lumpur International Airport) to leverage the 5G network for intelligent security protection, smart operation and smart services for passengers and retailers.

“In addition to these, Huawei Malaysia supported Celcom in building the 5G smart campus with the Sunway Group. On the other hand, Transport Network will be another key element for 5G and new digital service development. As a major solutions provider, Huawei is supporting Telekom Malaysia Bhd (TM) in building the 5G service-oriented transport network.

“In the 5G era, Core Network is the enabler of vertical service innovation. With Huawei’s unique Single-Core technology, we have supported Maxis, Celcom and TM to enhance the legacy Core Network that is capable of 2G/3G/4G and 5G NSA service in one core and that can smoothly perform software upgrades to support 5G SA service, which could significantly protect telcos’ assets and quickly support the new technology. We are continuing to support Malaysian operators in exploring more new use cases in Malaysia,” Yuan explained.

Commenting on the collaborative effort to mitigate, manage and reduce uprising threats to 5G security, he said in March 2021, Huawei Malaysia together with Celcom Axiata Bhd and CyberSecurity Malaysia (CSM) signed a tripartite memorandum of understanding (MoU) with regard to this matter.

“Through the MoU, the three parties are developing a 5G CyberSecurity Test Lab (My5G) that aims to have Network Equipment Security Assurance Scheme (NESAS) certification which is set to execute test cases pertaining to the Internet of Things (IoT) technologies and telecommunications security, and that will also help improve Malaysia’s preparedness in responding to 5G-related cyber challenges. My5G was launched earlier this month by Communications and Multimedia Minister Tan Sri Annuar Musa, whose speech was read out by Communications and Multimedia Ministry secretary-general Datuk Seri Mohammad Mentek

“We will also fully support CSM in developing the 5G Cyber Security Testing Lab and in becoming the regional cyber security test centre,” added Yuan.


Speaking on the future of cloud service usage in Malaysia, Yuan said there is tremendous potential for the growth of cloud services in Malaysia, as indicated during the COVID-19 pandemic.

“With the whole world moving towards digitalisation during the recent lockdowns, businesses have had to learn fast that they need access to flexible and scalable information technology infrastructure to weather the pandemic.

“Not only that, cloud service is one of the important foundations of digital transformation and companies that adopt cloud computing at any level are believed to be more resilient and able to respond in an agile manner to the drastic market changes brought on by the pandemic, such as controlling costs, scaling up usage quickly or making the right decisions using the data collected.

“With the rise of cloud computing has come the rise of cross-ecosystem and cross-industry collaborations through the development of cloud partner ecosystems (CPE). Huawei Cloud is built for an open ecosystem environment to enable industry partners with more industrial-based solutions on AI and Cloud services. This allows for innovation at a faster pace and via a more seamless process.  As the only local cloud service provider in the market, we are also committed to assisting our partners to go global via Huawei’s Cloud Partner Programme that opens up opportunities to the international market,” he added Huawei Malaysia has partnered with TM to set up TM ONE Alpha Edge under TM’s enterprise and public-sector business arm, TM ONE.

“The TM ONE Alpha Edge services were established to enable next-generation innovation for customers  as the sole Malaysian-owned end-to-end cloud and AI infrastructure in the country whereby data is stored locally, ensuring data sovereignty. The collaboration will also see Huawei Cloud providing and training local talents for ICT services in building a hyper scaler public cloud in Malaysia. Since Alpha Edge became ready for service in December 2020, Huawei has transferred knowledge to more than 600 TM staff, and the number is growing day by day,” added Yuan.


Carbon neutrality has become a global consensus and mission. According to the International Energy Agency (IEA), global carbon emissions are mainly contributed by three industries, namely electricity power generation, manufacturing and transportation. Electricity power generation accounts for 40 percent of carbon emissions, while transportation accounts for 21 percent. Malaysia recently announced its commitment towards carbon neutrality by 2050 at the UN Climate Change Conference (COP26).

“In the process of transitioning Malaysia towards a smart society that is powered by ICT, we also need to be aware of the carbon emissions from ICT itself. This industry currently consumes about four percent of electricity generation and is traditionally powered by non-carbon-friendly solutions. Since earlier 2021, Huawei has established a new Business Group namely the Digital Power Company, which aims to provide leading Green ICT solutions that can support our partners and clients in reducing their incumbent ICT carbon footprints whilst achieving lower Opex.

“Huawei Digital Power will be leveraging our leading strength in Digital and Power electronics, to enable an open, versatile and sustainable products and solutions portfolio for our customers and partners to realise the next generation of green power transformation,” explained Yuan.


For any foreign company in Malaysia, having a foothold in the country for 20 years is an achievement in itself. This is why Yuan sees Huawei Malaysia as a ‘permanent resident’ of Malaysia and is determined to contribute further towards the development of this country for many years to come.

This was evidenced by the fact that Huawei chose Malaysia as its regional hub for Asia Pacific, managing operations for 17 countries in the region. Kuala Lumpur, as the headquarters for Huawei Asia Pacific, also handles 11 global shared services and global training and experience centres.

“Huawei pledges its commitment to continue driving change among Malaysians, one initiative at a time. From helping to bridge loved ones across geographical boundaries to empowering businesses to thrive by adopting digital solutions, Huawei is honoured and proud to have supported Malaysia’s digital growth over the years, touching countless lives in the process.

“We are also ready to share advanced technologies and practical expertise around digital transformation with every industry, business and also the government. We also believe in joining forces with industry partners to build an open ecosystem for the nation’s betterment in the future,” he added.

Source: Bernama