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Malaysia seen to become a major subregional interconnectivity hub

Malaysia seen to become a major subregional interconnectivity hub

19 Nov 2020

Malaysia is set to become a subregional interconnectivity hub for Southeast Asia, according to Frankfurt-based neutral interconnection ecosystem provider DE-CIX.

In a statement, DE-CIX, which operates several carrier and data center-neutral internet exchanges (IX, or internet exchange point, IXP) in Europe, the Middle East, North America, Asia, and India, said with excellent international and terrestrial connectivity to the rest of Southeast Asia and beyond, Malaysia has the potential to complement the major content hub of Singapore by providing regional interconnection for growing local needs.

A white paper entitled “New interconnection markets in Southeast Asia” commissioned by DE-CIX and released on Nov 17, written by the neutral telecommunications analyst TeleGeography, highlighted that over the years, an excessive dependence on Singapore as the regional and global hub has developed for some networks in the region, resulting in an increasing demand for more widely distributed carrier and data centre neutral interconnection infrastructure.

It said this development creates opportunities for at least five frontier markets in the region — Kuala Lumpur, Jakarta, Bangkok, Manila, and Hanoi.

DE-CIX International chief executive officer Ivo Ivanov said the demand for interconnection in Southeast Asia is growing rapidly, adding that some international operators have become overly dependent on Singapore for connectivity in Southeast Asia.

“Therefore, the movement towards an interconnection platform that spans multiple markets in the region — creating a Southeast Asia wide interconnection ecosystem — is a natural step, as other parts of the world have gone through a similar transformation.

“This shift will not reduce the need for strong hubs like Singapore, but rather supplement that need with greater edge peering, networking, and computing resources.

“This paves the infrastructure path for content and applications to get as close as possible to the users in their offices and their homes, increasing the quality of experience,” said Ivanov.

Meanwhile, DE-CIX Malaysia and Singapore board member Weng Yew Wong said the white paper reveals that the Southeast Asian markets are already highly interconnected and possess regional self-reliance.

“With the DE-CIX Asia interconnection ecosystem, all DE-CIX’s existing and future IXs in Southeast Asia will be interconnected.

“Connected customers at any of the exchanges will be able to immediately access networks at any of the other DE-CIX IXs in the region.

“This will provide a seamless connection, top quality interconnection services, and the most cost-effective way to peer across Southeast Asia,” said Weng.

DE-CIX and the local Malaysian Internet Exchange provider JBIX created the joint venture DE-CIX Malaysia, which currently runs two IXs in the greater Kuala Lumpur and the Johor Bahru region.

DE-CIX is to open further IXs in Southeast Asia in due course.

Source: The Edge Markets Posted on : 19 November 2020