On June 20, Telekom Malaysia (TM), Malaysia’s leading integrated telecommunications company and also the national connectivity and digital infrastructure provider, shared that it was doubling its two data centres’ capacity to 40MW. These centres’ two locations are Iskandar Puteri and Klang Valley. Additionally, it is still considering other opportunities to expand its data centre business.
TM and Singapore’s SingTel agreed to a 51:49 Joint Venture to develop an AI-enabled, 64MW data centre in Johor. Depending on future demand, the partners can expand it to 200MW. TM’s share in the joint venture is RM588 million.
This eventually led to the RM331.7 million Iskandar Puteri Data Centre Block 2 Construction Project, which TM Technology Services Sdn Bhd, under Telekom Malaysia, owns. With these developments, Johor is becoming a key data centre location in the country, mainly due to its proximity to Singapore, which ranks as the sixth-established data centre market in the Asia Pacific.
Groundbreaking Ceremony for Block 2 of the Iskandar Puteri Data Centre
Groundbreaking for Iskandar Puteri Data Centre Block 2 Project (https://www1.tm.com.my/)
TM and SingTel’s Nxera held a groundbreaking ceremony on July 25 for the Iskandar Puteri, Johor data center campus. This comes more than a month after the joint venture announcement, which aims to boost this Malaysian state’s status as a digital hub.
The construction will upgrade the Iskandar Puteri Data Centre’s maintenance capability and eliminate downtime due to redundant systems. The goal is to achieve Tier III certification from the Uptime Institute, the industry tier certification provider for data centers in terms of build, design, and operations.
Malaysia’s data center sector has been experiencing rapid growth, and the country is poised to become one of the key hubs, thanks to its supportive infrastructure and strategic location. Besides Iskandar Puteri, other emerging data center locations in the country include Cyberjaya and Sedenak.
The project also supports the government’s efforts to steer its digital economy and transform Malaysia into a focal point of technological innovation and AI development.
Gracing the ceremony were some of the Malaysia and Singapore’s government officials, namely:
- YB Gobind Singh Deo – Digital Minister (Malaysia);
- YB Lee Ting Han – Chairman of Johor State Investment, Trade, Consumer Affairs and Human Resources Committee (Malaysia);
- Low Yen Ling – Senior Minister of State for Trade and Industry (MTI), and Ministry of Culture, Community, and Youth (Singapore)
The Contractor and The Scope
IMJ-Contractor for Iskandar Puteri Data Centre Block 2 (https://klproperty.cc/)
IJM Corporation Berhad’s wholly owned subsidiary, IJM Construction Sdn Bhd, secured the contract for the design and construction of the Iskandar Puteri Data Centre Block 2. Formed in 1983, IJM is currently one of Malaysia’s top conglomerates, operating its four core business ventures, namely construction, infrastructure concession, property development, and manufacturing and quarrying of construction materials.
The contract consists of the following scope of work:
- Building works
- Commissioning
- Electrical services
- Fit-out works
- Foundation
- Mechanical services
- Sub-structure
- Super-structure
- Testing
Block 2’s construction began in July 2024, and the expected completion is around the third quarter of 2025.
The company CEO and Managing Director shared that the data centre industry has been experiencing rapid growth parallel to the advancement in cloud computing, which requires scalable and powerful infrastructure.
This participation only proves how ardent the company’s intention and commitment are to adapt and innovate the needs of tech industries. The centre will be able to highlight IJM’s prowess in executing complex and high-speed development, which is crucial to the digital infrastructure of the country.
Factsheet
Owner: Telekom Malaysia through its subsidiary, TM Technology Services Sdn Bhd
Project Name: Block 2 of the Iskandar Puteri Data Centre
Project Type: Data Center Construction
Location: Lingkaran Teknologi 1, Taman Teknologi Nusajaya, 79250 Iskandar Puteri, Johor Darul Takzim
Contractor (EPC): IJM Construction Sdn Bhd
Value: RM331.7 million
Construction Start: July 2024
Construction End: 3rd Quarter of 2025
