Foreword

YB DATUK SERI DR. S. SUBRAMANIAM

Minister, Ministry of Human Resources, Malaysia

 

 

Recognizing the potential of  data centres in economic development, industry leaders initiated Entry Point Project 3 or EPP3, which aims to position Malaysia as a world class data centre hub.

 

In today’s world, data centres are critical in supporting the development and operations of nearly every sector of the economy. Closer to home, the Asia Pacific data centre growth is primarily being driven by the booming business in banking and finance, telecommunications, as well as the government and public sectors which has fuelled the set-up of large support facilities like data and disaster recovery centres. This growth is further driven by more global enterprises eyeing local growth and seeking to establish or expand their technical operations in the Asia Pacific region, as well as by companies with expanding computing requirements to support their rapid growth.
 
In the hype of Asia Pacific’s economic build up, Malaysia presents itself as an ideal location for ICT-based centres. Malaysia offers a stable geographical environment free from major natural disasters and growing opportunities in cloud-related services in the country. In addition, Malaysia’s business-friendly Government policies boosts companies’ confidence and interests to set up their data centre and host their services in a safe environment, increasingly recognizing us as a prime location for data centre investment and operations. International powerhouses’ attraction to Malaysia’s stable and conducive business environment is a stepping-stone for the industry to flourish.
 
Home-grown data centre operators are also stamping their mark in this space by offering better and new services and solutions that appeal not only to local customers but also to companies at regional and global level. To-date we have more than 15 notable local home-grown data centre service providers covering the entire scope of the data centre industry from floor space leasing, colocation, hosting, business continuity, managed services and cloud platforms.
Under the Economic Transformation Programme (ETP), Business Services is one of the twelve National Key Economic Areas (NKEA) identified by the Government. Recognizing the potential of data centres in economic development, industry leaders initiated Entry Point Project 3 or EPP3, which aims to position Malaysia as a world class data centre hub. EPP3 is intended to accelerate the current growth rate of the data centre industry to contribute a total of Gross National Income (GNI) of RM2.1 Billion (US$700 Million) in 2020. As of end 2011, the data centre market size exceeded RM300 million and this is projected to grow at 17.3% CAGR from 2011 to 2016.
 
Recently, the World Economic Forum (WEF) report for 2012 saw Malaysia’s ranking improved five notches in the World Economic Competitiveness list compared to the year before. Malaysia is now ranked 21st in the WEF’s Most Competitive Countries in the world. Malaysia offers critical support to businesses looking to expand in the Asia Pacific region, and a further boost from the Government under the EPP3 intiative will help to facilitate the growth of data centre businesses. With our aspiration to position Malaysia as a regional data centre hub, we warmly welcome you to participate in this exciting journey.