Article
27 Data Centre Projects Worth RM225.97bil Approved, Expected to Create 4,053 Jobs
Malaysia's data centre boom now has a clearer set of numbers. The Digital Ministry said 27 data centre projects approved through the Data Centre Task Force carry estimated investments of RM225.97 billion, according to The Star.
The projects, approved as of July 2026, are expected to create 4,053 jobs.
Where the projects are
Based on the reports:
- 16 projects are in Johor
- 10 projects are in Selangor
- 1 project is in Negeri Sembilan
One project is already operating, while the rest are under construction.
Of the expected 4,053 jobs, 3,523 are described as high-skilled roles. Malaysians are projected to fill 89.21% of those positions, according to reports citing the ministry.
Why data centres keep coming
Global demand for cloud services and artificial intelligence computing has pushed technology companies and data centre operators to build capacity in markets with land, power, connectivity and supportive policies. Johor's proximity to Singapore and Selangor's existing digital infrastructure have made both states popular.
The impact is already visible in economic data. In its advance GDP estimate for Q3 2026, the Department of Statistics Malaysia specifically mentioned data centre construction as a support for the construction sector, as we noted in our GDP report.
Key takeaway: data centres bring huge investment numbers, but relatively few permanent jobs per ringgit invested. The real local benefit depends on skills, suppliers and how power and water are managed.
The jobs question
The 4,053 job figure is significant, but it is modest compared with the RM225.97 billion investment. Data centres are capital-intensive. Most spending goes into buildings, power systems, cooling and servers, while day-to-day operations need relatively small teams of technicians, engineers and security staff.
That makes the high share of skilled roles and the projected local hiring rate important. It also means the indirect benefits, such as construction work, maintenance contracts and supporting services, matter for local communities.
The local content requirement
Reports on the task force figures also mentioned a 30% local content requirement for data centre projects. In practice, local content rules encourage operators to use Malaysian contractors, suppliers and services where possible, rather than importing everything. How strictly this is measured and enforced will shape how much of the RM225.97 billion actually flows into the local economy. For Malaysian engineering firms, electrical contractors and facility service providers, this is one of the most important details to follow.
What it means for Malaysians
For different groups, the data centre wave has different implications:
- Job seekers: roles in electrical engineering, mechanical systems, networking, facilities management and cybersecurity are likely to stay in demand.
- Students and TVET trainees: skills in electrical, HVAC and network infrastructure are directly relevant.
- SMEs: contractors, maintenance firms, security providers and logistics companies may find new opportunities.
- Residents: data centres use large amounts of electricity and water, so planning and sustainability standards matter for communities nearby.
What to watch
Watch for updates on how many projects begin operating, how energy and water requirements are met, and whether local content and hiring commitments are delivered. Other announcements, such as new data centre financing and AI capacity plans, suggest the pipeline is still growing.