SoftBank, Grab and Petros Plan $1.85 Billion Malaysia AI Investment

The initial capital comprises $1 billion from SoftBank, $750 million from Grab and $100 million from Petros, as Petroleum Sarawak is also known. The companies described the investment as the first phase of a multiyear plan targeting at least five gigawatts of computing capacity. They said they would seek additional investors and customers to help develop and expand the projects, which are intended to meet rising demand for computing capacity across Southeast Asia.

The proposed capital is split between projects in Peninsular Malaysia and Sarawak, a Malaysian state on Borneo island. The Peninsular Malaysia project is slated to receive $850 million initially: $650 million from Grab and $200 million from SoftBank. The Sarawak project is planned to receive $1 billion, comprising $800 million from SoftBank, $100 million from Grab and $100 million from Petros.

Grab Chief Executive Anthony Tan is expected to oversee development of both projects and appoint management teams for day-to-day operations. Tan said the infrastructure would help accelerate the development of localized AI solutions for Grab’s communities. He described Malaysia, where Grab began, as the base for infrastructure intended to serve Southeast Asia.

Malaysia has attracted data center and AI investment partly because of its relatively low electricity costs and abundant land. Prime Minister Anwar Ibrahim said in October that SoftBank Chief Executive Masayoshi Son was planning $50 billion in AI- and technology-related investment in the country, focused on AI, emerging technologies and data centers.