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Hajiji: Sabah open to AI data centre investments, subject to strict conditions

KOTA KINABALU: The Sabah government is open to credible investments in the technology sector, including the development of artificial intelligence (AI) data centres, but every investment proposal must undergo rigorous evaluation to ensure that the interests of the people and the state’s basic infrastructure requirements are not compromised.

Hajiji: Sabah open to AI data centre investments, subject to strict conditions

Sabah's Chief Minister, Datuk Seri Hajiji Noor, expressed the state's openness to investments in the technology sector, specifically AI data centres, but emphasised that every proposal must undergo strict evaluation to avoid compromising the state's basic infrastructure and the welfare of its people. He reiterated this stance during the signing ceremony of the memorandum of understanding (MoU) for Sabah's first Artificial Intelligence Data Centre (AIDC) alongside Deputy Chief Minister II and Finance Minister Masidi Manjun.

The signing of the MoU between North AIDC Sdn Bhd and global partners is viewed as a promising start, but Hajiji stressed that the project's success hinges on meticulous planning, thorough assessment, and tangible benefits to Sabah. He clarified that a signed MoU does not equate to state government endorsement, stressing that each proposal still needs to meet all stipulated conditions and requirements from relevant agencies.

Evaluation of a data centre development must consider technical and financial viability, electricity and water supply demands, cooling technology, environmental protection, land use, and connectivity. Developers must also collaborate closely with authorities and utility providers to ensure the facility's establishment doesn't strain essential services provided to the public.

Hajiji highlighted that these developments could create opportunities for local businesses in engineering, construction, telecommunications, logistics, and support services, especially during the construction phase.

He encouraged developers to provide opportunities for local contractors, collaborate with universities and technical institutions, and initiate apprenticeship programmes to help Sabah's youth gain skills in the digital technology sphere. While AI and cloud computing advancements offer Sabah opportunities to bolster its participation in the digital economy, Hajiji stressed that these efforts should coincide with addressing the state's existing infrastructure challenges.

He indicated that other states, like Johor, could serve as guides for utility management, environmental protection, and community interests during data centre development.

Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

Read the original at nst.com.my →

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