SEPTEMBERASIA BUSINESS OUTLOOK8NEWSROOMSkyeChip, a Malaysian chip design firm, has unveiled MARS1000, the country's first edge AI processor, marking a milestone in Malaysia's ambition to expand its role in the global AI ecosystem.While the MARS1000 is less powerful than advanced chips from Nvidia, it represents an important step in developing indigenous semiconductor capabilities amid intensifying geopolitical tensions. Malaysia has long been a hub for chip manufacturing and has recently deepened its commitment to AI, establishing the National AI Office in late 2024. The office is tasked with driving adoption, regulatory frameworks, and ethical standards across seven focus areas. The launch comes as Malaysia faces heightened U.S. scrutiny over AI chip exports. In July, the government began requiring trade permits and a 30-day advance notice for exporting or transshipping U.S.-made AI chips, following concerns over potential smuggling to China. To counter supply chain risks, Malaysia committed RM 25 billion (USD 6 billion) to strengthen its semiconductor ecosystem.Although the MARS1000 highlights the gap between Malaysia and global chip leaders, the country is leveraging strategic partnerships to close it. Microsoft recently announced a USD 2.2 billion investment, its largest in Malaysia, while NVIDIA is collaborating on local language AI models.By combining domestic chip design with global partnerships, Malaysia aims to build resilience and attract larger investments. The MARS1000 may not rival top-tier chips, but it establishes a foundation for Malaysia's AI-driven economic ambitions, projected to add USD 115 billion by 2030. MEEZA, a leading IT services provider in Qatar, has secured an 800 million Qatari riyals (US$219 million) commodity Murabaha credit facility from Dukhan Bank to expand its data center capacity by 44 megawatts.The first phase of this project will deliver 24MW, including 6MW dedicated to artificial intelligence (AI) services, underscoring Qatar's ambition to strengthen its position in the Middle East technology market. The AI-specific allocation reflects global and regional trends, with data center demand surging as AI adoption accelerates. Globally, data centers are projected to consume nearly 945 terawatt hours of power by 2030, largely driven by AI and digital transformation.Qatar is strategically positioned, with its IT services market expected to reach $1.2 billion by 2029 and AI-focused investments projected at $2.5 billion. This expansion aligns with Qatar's National Digital Agenda 2030, which targets an $11 billion contribution to non-hydrocarbon GDP and 26,000 new ICT jobs. With 99 percent internet penetration and SMEs making up over 96 percent of businesses, Qatar offers a strong domestic market while acting as a regional AI gateway.MEEZA's reliance on a Sharia-compliant Murabaha financing model highlights the growing role of Islamic banking in technology infrastructure. Such financing enables capital-intensive projects that support economic diversification across the Gulf, with Qatar's managed services market forecast to nearly double by 2030. MALAYSIA LAUNCHES FIRST AI CHIP: SKYECHIP MARS1000MEEZA SECURES $219M MURABAHA FOR QATAR DATA CENTER EXPANSION· SkyeChip launches Malaysia's first edge AI processor, MARS1000· Malaysia invests USD 6B to strengthen semiconductor ecosystem· Microsoft and NVIDIA back Malaysia's AI strategy with major deals· $219M Murabaha funding to expand 44MW data center capacity· 6MW allocated specifically for AI-driven services· Supports Qatar's Digital Agenda 2030 and ICT sector growth
< Page 7 | Page 9 >