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21 JUNE 2026

Saturday, August 15, 2026

Be more open on RM2bil AI cloud project, experts urge govt

 Cybersecurity specialist points out that transparency is a strategic necessity.

AI has become increasingly crucial for people’s economic livelihoods, making openness about a future cloud infrastructure project essential, say experts. (Envato Elements pic)
PETALING JAYA:
Cybersecurity experts have called for greater transparency on the government’s RM2 billion sovereign artificial intelligence (AI) cloud project.

They pointed out that there has been little to no update since its announcement under the 2026 Budget.

T Murugason, a cybersecurity practitioner based in Petaling Jaya, noted that public information on its implementation has been “relatively limited”.

T Murugason.

He said the scale of the project justifies the need for careful planning and execution, but the prolonged silence has created uncertainty.

Murugason said transparency with regard to international technology partnerships in the development of the sovereign AI cloud is particularly crucial, given that the goal is to avoid being digitally dependent on foreign tech.

The project, to be driven by the Malaysian Communications and Multimedia Commission, will entail the introduction of secure, local infrastructure to keep critical government data within national borders to safeguard security.

Murugason said Malaysia should disclose which international companies are contributing to the sovereign AI cloud and the nature of those partnerships.

“This is not about excluding foreign participation or promoting technological nationalism. On the contrary, international collaboration will almost certainly be essential to delivering a project of this complexity,” he told FMT.

Jay Chooi, an adviser to the National Tech Association of Malaysia’s AI chapter, said the benefits of the project hinge upon the cloud being genuinely under Malaysia’s control and operation.

Jay Chooi.

He said having a well-run sovereign cloud would give all Malaysians access to AI without depending on infrastructure in other countries, especially with the technology becoming increasingly crucial for people’s economic livelihoods.

“Not having a sovereign AI cloud means letting other countries decide whether ordinary Malaysians have AI access, which is similar in severity to letting other countries decide whether Malaysians have access to the internet or electricity,” Chooi said.

He pointed out that AI may soon be used to run national infrastructure such as transport, energy and healthcare, underlining the importance of secure access to AI through Malaysia’s own sovereign cloud.

“In that future, unexpectedly losing access to AI could disrupt the entire nation,” he warned.

Prime Minister Anwar Ibrahim previously said the sovereign AI cloud would secure the country’s AI capabilities while ensuring Malaysia does not merely remain a consumer of global tech.

Single provider or multiple vendors?

Murugason said Putrajaya should reveal whether it is primarily partnering with a single tech provider to establish the cloud, or taking a diversified approach with multiple vendors involved.

“Disclosing such information does not compromise national security. For a RM2 billion project that will underpin Malaysia’s AI ambitions for years to come, transparency is not an optional public relations exercise but a strategic necessity,” he added.

Murugason pointed out that similar initiatives in other countries have led to questions on costs, vendor dependency, and geopolitical considerations.

He suggested that Putrajaya publish quarterly updates to provide information on project milestones, procurement progress, governance arrangements, implementation timelines and risk management measures.

“This would reassure citizens, investors, industry participants and international partners that the project remains on course and is being managed responsibly,” he said.

Chooi shared the same view, saying that regular updates on the progress of this major project would be welcome, as transparency would build public trust while keeping partners accountable.

Sovereign cloud a key piece in data security

Murugason said one of the project’s biggest benefits is stronger protection of both personal and national data, ensuring that key sensitive information remains subject to Malaysian jurisdiction.

“As data becomes one of the world’s most valuable strategic resources, countries are increasingly seeking greater control over where their information resides and how it is accessed,” he added.

With AI anticipated to generate economic activity worth billions in the coming decade, he said, domestic capabilities would also ensure that value flows into the country and helps Malaysia retain intellectual property.

Murugason said another benefit is the development of local AI that better understands Bahasa Melayu, local dialects as well as Malaysia’s nuances and values.

“Such capability will produce AI systems that are more relevant, inclusive and effective across government, business and society,” he added. - FMT

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