Data Centers · Report

SoftBank, Petros and Grab plan a Malaysian data center buildout with a long-term target of 5GW, kicking off with an initial $1 billion investment.

A 5GW long-term target starting with $1 billion would make this one of the largest planned AI-capacity programs in Southeast Asia, and the first phase will test whether the target can be financed at scale.

Trade pressSlicast · November 10, 2026 at 16:00 UTC · Global · Source: Data Center Dynamics

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Japanese tech giant SoftBank, Malaysian oil and gas business Petroleum Sarawak Berhad, and Singaporean rideshare company Grab have partnered on a data center venture.

The trio has signed a Joint Development Agreement (JDA) for Malaysian data centers, with an initial spend of US$1 billion (RM4.07bn). The companies announced a framework agreement last month. SoftBank will invest $800 million, Grab will invest $100 million, and Petroleum Sarawak Berhad (Petros) will invest $100 million.

The companies have a long-term target of five gigawatts of compute in Sarawak, one of the Borneo states of Malaysia. The three firms will seek additional investors and hyperscaler customers.

State-owned Petros plans to expand critical gas infrastructure in the region as part of a broader push for industrial expansion.

"We are proud to work with Sarawak to advance AI for the benefit of the region and its people. Together with Grab and Petros, we aim to create lasting opportunities in Sarawak and support the development of technology-driven economic activity across Malaysia and the wider region," said Masayoshi Son, chairman and CEO of SoftBank.

The companies said the data centers will be developed in close collaboration with the Malaysian Federal Government and the Sarawak Government.

Malaysia has increasingly positioned itself as an APAC data center hub. Google this month announced plans to invest $15 billion in the country, joining proposed investments from OpenAI, Tencent, and PDG.

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