The investment will allow Microsoft to meet the growing demand for cloud computing services in the country, as well as enable Malaysia to capitalise on the significant economic and productivity opportunities presented by the latest AI technology, according to the company.

This marks the single largest investment in Microsoft's 32-year history in the country.

"Our investments in digital infrastructure and skilling will help Malaysian businesses, communities, and developers apply the latest technology to drive inclusive economic growth and innovation across the country," said Satya Nadella, Chairman and CEO, Microsoft.

This investment will create AI skilling opportunities for an additional 200,000 people in the country, as well as support the growth of Malaysia’s developer community.

"This strategic emphasis on AI not only boosts economic growth but also promotes inclusivity by bridging the digital divide and ensuring everyone gets a seat at the table, so every Malaysian can thrive in this new digital world," said Andrea Della Mattea, President of Microsoft ASEAN.

Earlier this week, Microsoft announced that it will provide AI skilling opportunities for 2.5 million people in the Association of Southeast Asian Nations (ASEAN) member states by 2025.

This training and support will be delivered in partnership with governments, nonprofit and business organisations, and communities in Malaysia, Indonesia, the Philippines, Thailand, and Vietnam.