Johor Gets Over a Billion Ringgit of Investment to Become a World-Class Data Hub

YTL Data Centres and Sea Ltd. breaks ground with RM1.5bil first phase of the 500MW YTL Green Data Centre Park

A rendering of the YTL Green Data Centre Park

YTL Power International Berhad (YTL Power), through its subsidiary, YTL Data Centre Holdings Pte. Ltd. (YTL DC) and Sea Ltd. marked a milestone with a groundbreaking ceremony for the development of the Sea Data Centre, the first phase of the 500MW YTL Green Data Centre Park and an RM1.5bil investment into Johor. The first phase will be a Tier-III certified facility equipped with best-in-class green power and connectivity which will be able to accommodate up to 72MW of capacity.

With YTL DC’s expertise and experience in building and managing data centres, fibre infrastructure and renewable energy, the YTL Green Data Centre Park will be the largest of its kind regionally, spearheading Johor’s position as a world-class data hub.

Menteri Besar of Johor, Dato’ Onn Hafiz Ghazi, who officiated the event, commented on how the Green Data Centre Park will impact the state, “As Johor has grown exponentially over the past few years, we welcome developments such as these, particularly green and sustainable projects that will boost the state’s economy. The digital economy has thrived since the pandemic, and this project will provide employment opportunities that will attract diverse multiskilled talents to the state, making Johor attractive to foreign direct investments. Importantly, we are proud that Johor is gaining momentum in the regional data centre market where YTL DC plays an important role in the value chain.”

The groundbreaking ceremony of the Sea Data Centre at YTL Green Data Centre Park

Also present to witness the event was Lim Bee Vian, Deputy Chief Executive Officer (Investment Development) of the Malaysian Investment Development Authority (MIDA). She said, “Companies today are strongly encouraged to embrace digitalisation because such advances enable businesses to innovate and thrive in an increasingly digital world. The establishment of such data centres here will push industry aspirations further. Today’s event is a testament to Malaysia’s capability to host such projects due to our advancements in digital infrastructure and YTL DC and Sea Limited’s capabilities to drive such projects in this region.

“With the combined efforts from the Government through MyDIGITAL blueprint and the establishment of the Digital Investment Office (DIO), it will allow Malaysia to realise our vision of being the digital capital of Asia, a vibrant and leading-edge location for companies to meet their data management and analysis needs in a sustainable manner. As Malaysia embarks on its journey to become a smart nation, I believe that YTL DC will play a key role in building our digital infrastructure,” added Lim.

With Sea being the anchor tenant for YTL’s Data Centre Green Park, the new three-storey green facility will help reduce its carbon footprint and meet sustainability goals. Targeted to be completed by the first quarter of 2024, the green building will feature 24 data hall suites, M&E rooms, office space, storage, and parking facilities.

“This essentially means that YTL will be able to meet the infrastructure, power, and connectivity needs of our operations in the region, with Johor’s state government and MIDA as our key expansion partners. We are committed to investing in the growth of the digital economy in Malaysia, and in Johor in particular and contributing to Malaysia’s Digital Economy Agenda,” said Ye Gang, Sea’s Co-founder & Group Chief Operating Officer.

Dato’ Yeoh Seok Hong, Managing Director of YTL Power added, “This marks a new phase of our partnership with Sea Ltd. We are excited to provide world-class, green infrastructure to our partners using our Group’s deep expertise in solar energy, data centres, telecommunications, construction and property development. With the overwhelming interest that we have received, it is our vision that the YTL Green Data Centre Park will be the largest and most successful of its kind in Asia.”

The YTL Green Data Centre Park is expected to be a catalyst for the digital infrastructure in Johor. Not only will it transform Johor’s economy by tapping into new high growth areas but it is also expected to spur the local economy by creating a conducive, productive and competitive business environment which will further improve the social well-being and quality of life for Malaysians.

Also present at the ceremony were representatives from various state and federal organisations, including the Iskandar Regional Development Authority (IRDA), Tenaga Nasional Berhad (TNB) as well as other distinguished guests.

Earlier this April, YTL DC announced the development of the 275-acre data centre campus in Kulai, the largest data centre park in Malaysia.