Redwood City-based digital infrastructure specialist Equinix has announced plans to expand its presence in Malaysia with a new US$190 million data center, KL2, in Kuala Lumpur. It said the move reflected the firm’s long-term commitment to Malaysia as demand for digital infrastructure accelerates across cloud, AI, and enterprise workloads, supporting the country’s digital economy and the region’s increasing connectivity demand.

Located in Cyberjaya, the new facility will be built less than one kilometer from Equinix’s existing data center in the metropolitan area (KL1). KL2 marks Equinix’s fourth data center in Malaysia, expanding a national footprint that includes its existing Kuala Lumpur site and key ongoing investments in Johor (JH1 and the upcoming JH2).

“Representing a total investment of over US$190 million, KL2 will deliver more than 2,200 cabinets when fully built out,” Equinix said.

Once operational, KL2 will provide a reliable platform for mission-critical workloads, supporting digital-native companies, hyperscalers, and multinational enterprises as they expand in the region, enabling them to scale efficiently, deploy Distributed AI and hybrid multi-cloud architectures across ASEAN.

This surging demand is already reflected in the exceptional commercial momentum of Equinix’s existing Cyberjaya site, KL1. Since its launch, KL1 has cultivated a rich, diverse ecosystem, with its direct customer base comprising network providers, enterprises and cloud and IT services. Notably, more than two-thirds of these customers (Equinix data) operate across multiple metros, underscoring a strategic shift where businesses no longer view these markets in isolation, but instead design integrated, regional architectures spanning Kuala Lumpur, Johor, and Singapore.

“By providing AI-ready infrastructure in Kuala Lumpur and Johor responsibly, we are directly supporting national agendas to advance the country’s AI ambitions,” said Cheam Tat Inn, Managing Director, Malaysia, Equinix. “KL2 will  ot only enale buinesses to rocess data closer to the source and deploy Distributed AI with agility, but it will also drive high-value job creation and build long-term economic resilience for the nation.”

Highlights/Key Facts 

• The facility is purposefully designed to support a balanced and interconnected diverse mix of customers, ranging from agile retail enterprises to large footprint (LFP) deployments and high-density workloads. To meet the rigorous demands of next-generation AI and High-performance computing (HPC), a substantial portion of total capacity supports advanced liquid cooling solutions. This capability is critical for supporting the high-density requirements of next-generation Distributed AI workloads and HPC.
• As part of its growing ecosystem in Malaysia, Equinix continues to expand its network of partners, including local and regional carriers and service providers, enhancing interconnection opportunities for customers.
• The development is part of Equinix’s long-term expansion strategy in Malaysia, with future growth potential supported by adjacent land secured for future expansion, reinforcing Kuala Lumpur’s role as a key interconnection hub in ASEAN.
• In line with Equinix’s global sustainability commitments, the facility is expected to achieve strong operational efficiency, supporting more resilient digital infrastructure operations.
• Engineered to meet regional industry commitments agreed to and as set out in the APDCA’s Sustainable Digital Infrastructure Accord, and KL2 is targeting 100% renewable energy coverage from day 1, aligned with Equinix’s global goal to achieve 100% renewable energy coverage across its retail IBX footprint by 2030.