How is Malaysia Shaping the Next Chapter of AI? Dr. Rais Hussin, CEO of MRANTI, Highlights At Businessabc AI Global Summit

Dr. Rais Hussin, CEO of MRANTI, during his keynote at the Businessabc AI Global Summit how Malaysia is innovating in AI. He also highlights that MRANTI is the nation’s central research commercialisation agency that launched the AI Sandbox Programme, in partnership with NVIDIA, to catalyse 900 startups and 13,000 AI talents by 2026.

“Malaysia is stepping forward not just to keep pace, but to help shape the direction of AI locally, regionally, and globally, We are embedding AI not as an accessory, but as a foundational layer in our national growth strategy, and we are doing so in ways that accelerate time to impact,” says Datuk Wira Dr. Hj. Rais Hussin Hj. Mohamed Ariff, CEO of MRANTI, at a keynote address for Businessabc AI Global Summit 2025, held at the Royal Kensington Town Hall, London on the 26th and 27th of June, 2025.

Artificial Intelligence (AI) is already transforming the way we live, work, and connect. 

Across Southeast Asia, Malaysia is fast emerging as one of the most ambitious and well-positioned countries to lead the AI revolution. With a projected market size of over US$966 million by 2025, AI in Malaysia is growing at a 26.24% CAGR to reach USD 3.91 billion by 2031.

The Malaysian Research Accelerator for Technology and Innovation MRANTI, the nation’s central research commercialisation agency, which operates under the Ministry of Science, Technology and Innovation (MOSTI), is leading key programmes like the AI Sandbox in collaboration with NVIDIA, aiming to support 900 AI startups and train 13,000 AI professionals by 2026.

“So what makes Malaysia different? Yes, we are strategically located at the heart of Azan, a region of over 670 million people with one of the world's fastest-growing digital economies,” says Datuk Wira Dr. Hj. Rais Hussin Hj. Mohamed Ariff, CEO of MRANTI.

The state of AI in Malaysia

As AI requires massive computing power, Malaysia is making significant investments in next-generation infrastructure. One of the most strategic developments is Microsoft’s Malaysia West Cloud Region, set to launch in Q2 2025. This hyperscale datacentre will provide the computing backbone needed for training, testing, and deploying AI solutions at scale, locally and securely.

With a projected value of USD 13.57 billion by 2030, Malaysia’s datacentre market is poised to be a critical driver of the country’s digital economy. The Malaysia West Cloud Region will offer Microsoft Azure, Microsoft 365, and Dynamics 365 services with high availability, low latency, and strong compliance with local data regulations.

Malaysia is not just thinking local, it is acting global. Prime Minister Anwar Ibrahim has declared AI a strategic national priority. In his speeches, he highlights the need for students to learn AI early, the importance of multilingualism for international trade, and the urgent shortage of 30,000 engineers to meet growing demand.

“Malaysia is well positioned to lead the next wave of AI. It offers a great opportunity for a world facing challenges in multiple areas. With MRANTI’s work, Malaysia is becoming a core launchpad for AI innovation across ASEAN and the Islamic world,” says Dinis Guarda, founder of Businessabc.net and Citiesabc.net.

To further globalise its ecosystem, Malaysia encourages international founders and investors to collaborate within the country, not just with it. 

As Dr. Rais put it, “Don’t just collaborate with Malaysia. Collaborate through Malaysia. Test your AI solutions here. Deploy them across ASEAN and beyond.”

A national strategy driven by vision and intent

Malaysia’s AI roadmap is bold, inclusive, and built for long-term impact. As the world shifts towards intelligent technologies, Malaysia is reshaping itself, not based on size or legacy, but on how quickly and responsibly it applies AI to real problems.

As Dr. Rais adds, “AI is no longer confined to labs or niche applications. It is the invisible infrastructure of modern economies, transforming agriculture, healthcare, logistics, finance, education, and beyond.” 

Under his leadership, MRANTI is turning this belief into action. Through its flagship AI Sandbox programme, launched in April 2024 in partnership with NVIDIA and the National Technology and Innovation Sandbox (NTIS), MRANTI is enabling startups and innovators to test, validate, and scale their AI solutions in a safe, structured, and collaborative environment.

As part of this effort, MRANTI also introduced Moranti AI Connect, a comprehensive ecosystem that links startups, corporations, regulators, researchers, and investors. This integrated model is designed to turn ideas into commercial outcomes quickly while ensuring strong collaboration across the public and private sectors.

“We are targeting 900 AI startups by 2026. Over 13,000 new AI professionals and a 10,000 uplift in economic activity driven by AI-enabled industries, tools and talent. Which is why we didn't stop with a sandbox. We built Moranti AI Connect, an ecosystem engine that links startups, corporates, regulators, researchers, investors, and international partners. Because innovation doesn't thrive in isolation. It scales through connection and coherence. We are building that coherence intentionally with the Ministry of Higher Education,” says Dr. Rais. 

From Sandboxes to real-world impact

While many countries are still exploring AI strategy, Malaysia is already delivering real-world impact. Under MRANTI’s guidance, the AI Sandbox Pilot Programme is more than a testbed; it’s a launchpad for the next generation of AI-driven businesses and talents. Supported by the Ministry of Science, Technology and Innovation (MOSTI) and the Ministry of Higher Education (MOHE), the sandbox is giving startups access to advanced computing infrastructure, expert guidance, and collaboration opportunities.

“The programme envisions facilitating the establishment of up to 900 AI startups by 2026 and potentially stimulating up to 10% economic growth,” explained YB Tuan Chang Lih Kang, Minister of Science, Technology and Innovation.

The collaboration with NVIDIA, one of the world’s top AI companies, further ensures that Malaysia’s innovators have access to world-class tools and training.

MRANTI’s approach is not limited to just startups. Through training initiatives like the Deep Learning Ambassador Programme, NVIDIA’s DLI courses and partnerships with top global tech players like Microsoft, Google, and AWS, MRANTI is equipping Malaysian researchers, university spin-offs, and corporates with cutting-edge AI capabilities.

Dr. Rais emphasised, “This is about more than just numbers. It’s about momentum, building the conditions for AI to move from proof of concept to countrywide deployment.”

MRANTI’s role in building talent and infrastructure

A successful AI ecosystem needs two critical ingredients: talent and infrastructure. MRANTI is actively developing both. 

Through the MRANTI AI Programme, a complete suite of solutions is offered for startups, researchers, and corporate innovators. This includes access to GPU-powered labs, sovereign cloud credits, AI accelerators, regulatory support, and technology commercialisation services.

With the government, industry, and academia aligned under one vision, Malaysia is ensuring its AI journey is sustainable and long-term.

“We move fast. We partner deeply. We build what works and refine what doesn’t. We are not chasing hype. We are delivering infrastructure, governance, and solutions that matter in the real world,” said Dr. Rais.