Malaysia has potential to become sub-regional interconnectivity hub for Southeast Asia — DE-CIX - MIDA | Malaysian Investment Development Authority
contrastBtngrayscaleBtn oku-icon


plusBtn crossBtn minusBtn


This site
is mobile


Malaysia has potential to become sub-regional interconnectivity hub for Southeast Asia — DE-CIX

Malaysia has potential to become sub-regional interconnectivity hub for Southeast Asia — DE-CIX

31 Aug 2022

Malaysia has the potential to become a sub-regional interconnectivity hub for Southeast Asia, as there has been increasing demand for more widely distributed carrier and data centre neutral interconnection infrastructure in the region, according to Frankfurt-headquartered carrier- and data-centre-neutral internet exchange point DE-CIX.

In a recent exclusive email interview, DE-CIX Malaysia board of management member Wong Weng Yew explained that this move will not diminish the need for major hubs like Singapore, but will instead complement it with more peering, networking, and computing resources closer to the edge.

DE-CIX Malaysia is a subdivision of DE-CIX.

“DE-CIX, with its recently announced initiative to bring its connectivity hub solution to the Malaysia-Thailand border, will enhance Malaysia’s competitiveness as the sub-regional connectivity hub. It is also an important step towards patching the connectivity gap in northern Peninsular Malaysia.

“The Malaysian Communications and Multimedia Commission, with its National Interconnection Ecosystem Lab initiative, has also formulated the JENDELA+, which focuses on interconnection infrastructure initiatives to support the implementation of MyDIGITAL.

“With the recent strong foreign interest in building a new hyperscale data centre in Johor, DE-CIX’s Johor Bahru node (JBIX) has become an important traffic hub facilitating traffic exchange between the internet service provider and these hyperscale data centre users,” he said.

Automotive sector

Industry-wise, Wong said Malaysia’s automotive sector will take advantage of advancements in autonomous vehicle technologies, as the country will complete its research and development process by 2025.

He said Malaysia was the first nation to announce its taxes and policies for registering electric vehicles for use by the general public in the ASEAN region.

He said that aligning with the 12th Malaysia Plan, technology has been prioritised in accordance to Malaysia being on its way to becoming a hi-tech nation in the near future.

“Malaysia’s adoption and application of digital and advanced technology will be accelerated under the 12th Malaysia Plan to create and unlock new opportunities.

“This will maximise the digital economy’s potential while also achieving inclusive, responsible, and long-term socioeconomic growth,” he said.

Supply chain

Wong said foreign automotive companies in the region have started using internet exchange point providers such as DE-CIX to develop their own connected car ecosystems.

He said DE-CIX works with a number of the most well-known automotive brands around the globe.

“There is a general move from these players to take their interconnection strategy into their own hands and partner with experts like DE-CIX to move their interconnection closer to both their manufacturing facilities and their end users.

“DE-CIX is working with large-scale enterprises from various industry segments to offer them the geographical scope of interconnection that they require to support their global digital supply chains,” he added.

Source: The Edge Markets