There are both positive developments and a few problems for the digital infrastructure company Equinix in Malaysia, according to recent headlines.
Equinix has completed the second phase of its KL1 International Business Exchange (IBX) data centre in Cyberjaya, Selangor. The latest expansion adds 450 cabinets to the KL1 facility, bringing its total capacity to 900 cabinets once operational, with a power load of 2.4 megavolt-amperes (MVA).
The Edge Malaysia news service says Equinix has invested approximately US$100 million in the KL1 IBX facility. It also acquired a 14,300-square-metre plot of land in Kuala Lumpur for RM23 million (US$5.5 million) in July 2024, where it plans to build a second facility, to be called KL2. Once operational, the expected combined power capacity of both KL1 and KL2 is projected to reach 4.8 megawatts.
The new facility will add to Equinix’s existing Johor Bahru data centre JH1 which, as we reported at the time, opened in May 2024.
The company says Malaysian facilities are directly linked to its data centre campus in Singapore through Equinix Fabric, an on-demand software-defined interconnection platform that allows enterprises to integrate infrastructure across borders.
The network is said to support a digital ecosystem of over 1,000 companies, enabling seamless cross-border connectivity.
Equinix is also reportedly planning further expansion across Southeast Asia, including Indonesia, the Philippines and Thailand.
However, Reuters reports that the Equinix Malaysia unit is looking at various providers of alternative energy as it expects an impending increase in domestic electricity tariffs to raise its costs. Malaysia's government has announced plans to increase electricity tariffs by 14.2% in July.
Various renewable energy service providers are apparently being looked into, though which renewable sources night be used – and when – have not been specified.