Salutations

Mr UwemUkpong Vice President of Global Services, AWS

Mr Kevin Miller Vice President of Global Data Centers, AWS

Yang Berusaha Tuan Anuar Fariz Fadzil Chief Executive Officer, MDEC

Mr Jeff Johnson Managing Director (ASEAN), AWS

Mr Eric Conrad Regional Managing Director (ASEAN- Public Sector), AWS

Ms Julian Lau Head of Emerging Market (Public Sector), AWS

Mr Peter Murray Country General Manager (Malaysia and Asia Emerging Markets), AWS

Mr Hafiz Hassan Head of Government Industry, AWS

Distinguished guests,

Members of the media,

Ladies and gentlemen.

Salam Perpaduan, Salam Malaysia MADANI, and a very good morning.

1. It is a pleasure to be here today. I would like to take this opportunity to thank Amazon Web Services (AWS) for organising the AWS Cloud Day Malaysia. It is said to be a platform to empower businesses, builders, and leaders to unlock the full potential of the cloud and the latest advancements in artificial intelligence (AI).

2.On the same note, I would like to commend AWS for its faith and confidence in Malaysia. This is following its significant investment of USD6.2 billion through 2038 as part of its long-term commitment in the country. The construction and operation of the new AWS Region is estimated to add approximately USD12.1 billion to the nation’s GDP, and will support an average of more than 3,500 full-time equivalent jobs at external businesses annually through 2038. OF CLOUDCOMPUTINGANDAI

Ladies and gentlemen,

3. Cloud computing and AI have come a long way since their inception. The roots of cloud computing stretch back to the 1950s and 1960s — an era dominated by mainframe computers. Following this, the world witnessed the rise of the client-server model, which then paved the way for the evolution of virtualisation technology.

4. Technology has brought us to a remarkable point, with a significant shift towards cloud technology. This is driven by the evolution of cloud technology beyond mere storage. Today it is a platform that enables unprecedented scalability, data processing, and accessibility for both businesses and individuals.

5.Similarly, AI has progressed significantly since it was first coined by John McCarthy in 1956. The progress of AI became more prominent when Deep Blue defeated world chess champion, Garry Kasparov in 1997. And here we are today, speaking about the latest AI trends and Generative AI, as most of our mobile devices and business systems have some form of in-built AI function. Just like electricity, water and the internet, AI has become a necessity.

6.This is corroborated further from the substantial and growing investments in AI and cloud services all over the world. It reflects that we are on the right path– presenting opportunities for substantial economic advancement.

MALAYSIA CREATING RIGHT DIGITAL ECOSYSTEM

Ladies and gentlemen,

7. Malaysia’s aspirations such as the New Industrial Master Plan 2030 (NIMP), the National Energy Transition Roadmap (NETR), and the National Semiconductor Strategy (NSS) aim to reinforce the nation’s position as a major semiconductor hub. This underscores the government's commitment to fortify the digital industry's global competitiveness and sustainability.

8. For example, Johor has proven to be the preferred location for tech giants. The incentives offered by the Johor-Singapore Special Economic Zone (JS-SEZ) will attract high-quality investments and create high-value jobs, transforming it into a sustainable special economic zone.

9. Similar developments are occurring in other parts of the nation, including Penang, Selangor, and Sarawak. These economic areas will contribute significantly to Malaysia's digital economy, helping to achieve the projected 25.5% contribution to the nation's GDP by the end of 2025.

10. But as we move forward, we must ask ourselves: what more can be done? A critical step lies in engaging the industry to gain insights into emerging technologies and where they see the future heading.

11. Engagements with industry leaders enable us to anticipate the impact of emerging technologies, positioning Malaysia to not only adapt to new advancements but also establish a governance framework that effectively manages and supports these shifts.

12. The government's commitment goes beyond simply attracting investments; we are dedicated to fostering sustainable ecosystems for both local and global businesses. By offering secure, reliable, and user-friendly cloud services, we are building a resilient digital infrastructure that will drive innovation and accelerate economic growth.

A FORWARD-LOOKING GOVERNANCE STRUCTURE

Ladies and gentlemen,

13. With this digital evolution, we also face new challenges, particularly in establishing regulatory frameworks that protect our interests while promoting innovation.

14. Cloud technology and AI present distinct challenges, from safeguarding data to addressing ethical considerations, which call for advancements in our governance structure. Therefore, the Ministry of Digital is committed to cultivating a regulatory landscape that promotes innovation and growth, while upholding rigorous standards in data security and responsible governance.

15. We have taken significant steps to create a regulatory environment that facilitates this. They are guided by five key pillars.

16. Pillar 1 is data storage and management: As data is generated, it must be securely stored and managed, often in data centres or cloud environments. The Ministry of Digital will soon introduce a National Cloud Policy, establishing a robust security framework for both public and private clouds.

17. Pillar 2 is on data protection. As data is stored, processed, and used, it must be safeguarded. In July 2024, Malaysia strengthened its Personal Data Protection Act 2010, implementing stricter measures to align with global standards and improve personal data protection.

18. Pillar 3 is data security. Securing the cyber environment within which data flows are crucial for building digital trust. Malaysia’s Cyber Security Act, which came into force on the 26th of August 2024, establishes a framework for managing cybersecurity threats for national critical information infrastructure (NCII), and establishes licensing rules for cybersecurity providers.

19. Pillar 4 is data innovation. A safe and secure data ecosystem lays the foundation on which innovation can thrive. Building on the first three pillars of data governance, the Ministry of Digital plans to introduce a new Data Sharing Bill, which will establish a clear regulatory framework for sharing of public sector data.

20. Pillar 5 is data governance: The Ministry will oversee matters of data governance, which will include data sovereignty.

21. The MADANI Government has also initiated various efforts to ensure Malaysia remains digitally resilient. We now have the Cyber Security Act 2024, and the amended Personal Data Protection Act 2010. This government is committed to strengthening data safety and digital trust, evident in Budget 2025 that was tabled by our Prime Minister YAB Dato' Seri Anwar Ibrahim on Friday, October 18, 2024.

22. Among the key highlights of Budget 2025 is the RM10 million allocation to set up the National AI Office (NAIO), which will be launched in December this year. It will be overseen by MyDIGITAL Corporation, which is an agency under the Ministry of Digital.

23. Another RM10 million has been allocated to the National Cyber Security Agency (NACSA) to fortify Malaysia’s cyber security. Additionally, the setting up of ASEAN AI Safe initiative is meant to pool expertise and resources, keeping the region digitally resilient.

CLOSING- COLLABORATION IS KEY

Ladies and gentlemen,

24. We envision Malaysia as a destination where companies can invest, collaborate, and co-create with us — a place where we all grow together as we advance into the future. Such collaborations, including that with AWS, can help us develop more talents and understand the cloud service industry better.

25. As the renowned computer scientist, Alan Kay once said: “The best way to predict the future is to invent it."

26. Innovation will not wait for us and we cannot afford to be left behind. We are all here today because we want to play our own unique role in contributing to this future ecosystem for us all to mature into a high-income economy and a kindled entrepreneurial spirit. Your presence signifies commitment and support for the encouragement of this sector's initiatives to continue to thrive.

27. Before I leave the stage, allow me to thank AWS Malaysia once again for its good work here. I truly hope all of you present today will maximise your participation by having productive conversations, and even striking partnerships to expand your businesses and horizons.

28. Together, let’s make Malaysia the ideal destination for innovation and growth in the age of cloud and AI.

Thank you.-END-