AI data centres set for sustainable growth

TheStar Tue, Jul 28, 2026 12:00am - 1 month View Original


PETALING JAYA: Malaysia could sustainably benefit from the artificial intelligence (AI)-supercharged data centre (DC) rollout, or a second wave, given the still steady demand for DCs, says Kenanga Research.

In light of a strong DC pipeline, the research house recently held an Energy Day. Discussions delved into energy security, overcoming bottleneck and resource constraints via new sustainable technologies – such as co-located energy hubs to tackle water challenges – and even nuclear power to solve the energy trilemma.

The evolving energy turmoil caused by the Strait of Hormuz disruptions added another layer to the discussions on energy security.

Amid Google’s recent guidance uplift in capital expenditure (capex), Kenanga Research said: “We foresee that the aggregate hyperscaler capex would grow to exceed US$1 trillion in 2028.”

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