Equinix spends $40m on Malaysian data centre

Equinix spends $40m on Malaysian data centre


Equinix confirms its market entry into Malaysia with plans to build a new International Business Exchange (IBX) data centre located in Johor, called JH1.

With an initial investment of approximately $40 million, JH1 is scheduled to begin operations in Q1 2024, delivering 1,960 square meters of colocation space.

JH1, a two-story facility, will be located at Nusajaya Tech Park in Iskandar, Johor. It is 15km from Singapore, allowing the data centre to address excess demand from organisations in the city-state in addition to Malaysian domestic demand.

"While the digital economy represents a catalyst for the Malaysian economy, data centers are integral in supporting digital ecosystems and their sustained growth," said Datuk Onn Hafiz Ghazi, chief minister of Johor.

"We welcome this investment by Equinix, along with the global expertise they bring to Johor, as well as the rich digital experiences and outcomes that will benefit this state and the country. We are looking forward to working together, in transforming Malaysia into a digitally driven, high-income nation at the forefront of this region's digital economy."

Equinix's expansion into Malaysia will enable Malaysian businesses international growth opportunities as well as for multinational corporations pursuing growth in the Malaysian market.

The news is in line with the MyDIGITAL initiative launched by the Malaysian Government, which aims to support the country in its growth of digital products and services. 

"Establishing a presence in Johor strengthens Equinix's leadership position in Asia-Pacific within a strategic market such as Malaysia, one of the most requested markets in Asia-Pacific by our global customers," added Jeremy Deutsch, president of Asia-Pacific, Equinix.

"I would like to express our gratitude to the Digital Investment Office (DIO), Invest Johor, and Tenaga Nasional Berhad (TNB) for their assistance and support. We look forward to deepening our collaboration through future expansion, maximizing local businesses' digital growth potential with rich digital experiences and outcomes."

The expansion is Equinix's second move into the Association of Southeast Asian Nations (ASEAN) region following its recently announced plans to expand into Indonesia. The company also confirms plans to expand into Chennai in India.

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