Cover Malaysia’s artificial intelligence (AI) landscape underwent a dramatic transformation in 2024 (Photo: Adobe Firefly/Noemy Zainal)
Malaysia’s artificial intelligence (AI) landscape underwent a dramatic transformation in 2024 (Photo: Adobe Firefly/Noemy Zainal)
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As advancements in artificial intelligence (AI) continue to disrupt, Tatler rounds up notable highlights of 2024 impacting Malaysia and the world
Malaysia’s artificial intelligence (AI) landscape underwent a dramatic transformation in 2024, marked by rapid adoption amid growing public discourse about its implications. Following the AI boom triggered by ChatGPT’s release in late 2022, Malaysian businesses and institutions have increasingly integrated AI solutions into their operations, recognising technological proficiency as crucial for future success. This year, the country has seen billions in investments from global technology leaders such as Microsoft, Google, Oracle and Amazon Web Services. As we examine the year’s most significant AI developments, both locally and globally, it becomes clear that Malaysia’s pragmatic approach to AI adoption is shaping its technological future.
Read more: How can AI be seamlessly integrated into businesses?
AI Promises to Enrich Southeast Asia's GDP
According to research by global management consulting firm Kearney, AI could add nearly USD$1 trillion to Southeast Asia’s GDP by 2030. Malaysia could capture USD$115 billion of this total.
Knowledge Workers Continue Leveraging AI
A 2024 Work Trend Index by Microsoft and LinkedIn indicated that 84 per cent of Malaysians in knowledge-based fields use AI, far surpassing the global average of 75 per cent. In this study, the Work Trend Index defines knowledge workers as those who typically work at a desk, in an office or at home. Also factored in were those familiar with AI, business leaders and corporate employees.
Above AI could add nearly USD$1 trillion to Southeast Asia’s GDP by 2030 (Photo: Adobe Firefly/Noemy Zainal)
AI could add nearly USD$1 trillion to Southeast Asia’s GDP by 2030 (Photo: Adobe Firefly/Noemy Zainal)
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AI Teach For ASEAN Will Shape Our Tech Future
Launched in January, AI Teach for ASEAN is a joint initiative between the ASEAN Foundation and Microsoft to democratise AI education across Southeast Asia. The effort aims to provide AI literacy training to over 6,200 Technology Vocational Education and Training (TVET) educators in the region, focusing on Indonesia and Malaysia. In Malaysia, the programme targets training 1,000 TVET educators, who will then share their knowledge with 100,000 students.
Microsoft Commits to Malaysia in a BIG Way
In May, Microsoft announced a record-breaking USD$2.2 billion investment over the next four years to support Malaysia’s digital transformation, its largest commitment to the nation in 32 years. This includes building cloud and AI infrastructure in the nation and generating AI skilling opportunities for an additional 200,000 people in Malaysia. The investment will also help Microsoft strengthen its partnership with the government to establish a national AI Centre of Excellence, enhance the nation’s cybersecurity capabilities and more.
Opening the Door to Make AI Accessible to All
In May, Microsoft signed a memorandum of understanding with the Malaysian Communications and Multimedia Commission (MCMC) to teach AI to vulnerable segments of society, including those in the B40 income group and individuals with physical disabilities.
Above Following the AI boom triggered by ChatGPT’s release, Malaysian institutions have increasingly integrated AI into their operations (Photo: Pexels)
Following the AI boom triggered by ChatGPT’s release, Malaysian institutions have increasingly integrated AI into their operations (Photo: Pexels)
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Companies Use Microsoft Azure OpenAI
Some Malaysian organisations began leveraging Microsoft’s generative AI-powered solutions to boost productivity and drive innovation. Agroz is an agriculture tech company that uses Azure OpenAI Service to assist farmers with crop management. Meanwhile, the education app Pandai has deployed a personalised study bot that uses Azure OpenAI Service to support over 800,000 students.
Malaysia's First AI Faculty Opens
In the 2024 national budget, Malaysia allocated RM20 million to establish the country’s first dedicated AI faculty at Universiti Teknologi Malaysia (UTM), launched in May. This initiative aims to advance AI education, prepare the next generation of AI professionals and promote AI research. Malaysian scholars who are internationally recognised experts pioneered the new curriculum in four months.
AWS Invests USD$6.2 Billion in Malaysia
In August, Amazon Web Services (AWS) announced plans to invest USD$6.2 billion (RM29.2 billion) in Malaysia through 2038 as part of its long-term commitment to journey. The AWS Region project is estimated to contribute RM57.3 billion to Malaysia’s gross domestic product between 2024 and 2038, creating over 3,500 full-time jobs annually from new data centres.
Above Malaysia’s code of ethics for the development and implementation of AI is the Artificial Intelligence Governance and Ethics (AIGE) (Photo: Pexels)
Malaysia’s code of ethics for the development and implementation of AI is the Artificial Intelligence Governance and Ethics (AIGE) (Photo: Pexels)
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Developing a Local Code of Ethics for AI
Since January, Malaysia has recognised a need for a code of ethics for the development and implementation of AI, now known as the Artificial Intelligence Governance and Ethics (AIGE). The Minister of Science, Technology and Innovation Chang Lih Kang revealed that the government had been closely monitoring how foreign countries adapt and adopt AI regulation, acknowledging that too much regulation could stifle the growth of rapidly developing technology. Launched in September, AIGE is a framework designed to ensure the safe use of AI technology through compliance with the seven principles of responsible AI: fairness, privacy and security, inclusivity, transparency, accountability, reliability, safety and control, and the pursuit of human benefit and happiness.
Budget 2025 Accelerates Malaysia’s Adoption of AI
Budget 2025 will continue to advance Malaysia’s digital future, estimating that the digital economy will contribute 25.5 per cent to the gross domestic product (GDP) and generate up to 500,000 jobs. With RM600 million allocated to research and development under the Higher Education Ministry and Science, Technology, and Innovation Ministry, RM50 million will go towards teaching AI-related subjects at research universities.
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Gamuda AI Academy Powered by Google
Construction and engineering giant Gamuda collaborated with Google to launch Malaysia’s first purpose-built AI-based training academy powered by Google Cloud in October. According to Digital Minister Gobind Singh Deo, Google’s USD$2 billion data centre and cloud region facility could generate over USD$3.2 billion in economic impact and 26,500 jobs by 2030. The first intake in September comprises 42 students ranging from fresh IT and engineering graduates to mid-career professionals aiming to upskill. Neurodivergent students are also among cohorts supported by Yayasan Gamuda’s Enabling Academy.
Above Budget 2025 will continue to advance Malaysia’s digital future (Photo: Pexels)
Budget 2025 will continue to advance Malaysia’s digital future (Photo: Pexels)
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AI Central to 2024 Nobel Prizes
In October, scientist John Hopfield and AI pioneer Geoffrey Hinton won the 2024 Nobel Prize in Physics for discoveries and inventions in machine learning that paved the way for the global embrace of artificial intelligence. Meanwhile, Demis Hassabis and John Jumper, two employees of Google’s AI division, won a Nobel Prize in Chemistry for developing an AI model to predict and design novel proteins.
Oracle Invests USD$6.5 Billion in Malaysia
The American multinational computer technology company announced a significant investment in the nation in October, aiming to create a public cloud region to support AI and cloud services. The investment promises to drive the development of AI infrastructure, including generative AI tools and NVIDIA-powered AI supercomputers. The move highlights Malaysia’s strategic position in Southeast Asia for digital innovation, aligning with the country’s goals of creating 3,000 smart factories by 2030.
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