DNeX partners Google Cloud to deliver next-gen sovereign cloud in Malaysia

DNeX to operate Google Distributed Cloud in Malaysia, providing air-gapped cloud infrastructure with advanced AI capabilities to the country’s regulated industries, with full data and regulatory compliance.

Businesses continue to embrace more emerging technologies like AI to improve their productivity and efficiency. A key component in ensuring successful implementation is data. Given the amount of data organizations have today, developing and implementing AI solutions may seem like an easy choice.

However, when using data, especially to develop AI use cases and such, businesses need to ensure they meet all regulatory and compliance requirements. The use of generative AI among organizations has raised some concern among some industries, especially with the possibility of data being exposed to third party users and such.

To deal with these concerns and meet data sovereignty requirements of different countries and organizations, cloud service providers have developed the sovereign cloud. The sovereign cloud generally provides access to data that compiles with local privacy and regulatory requirements. It also protects the data from foreign access.

The use and development of the sovereign cloud continues to gain traction around the world. In Southeast Asia, countries like Singapore, Thailand and Malaysia have partnered with tech companies to develop sovereign cloud that can ensure these requirements. In Malaysia, there has been increasing demand for cloud solutions, especially with country expanding its digital economy and speeding up its AI adoption.

DNeX authorized to offer Google Distributed Cloud in Malaysia

To ensure strict data residency, security and privacy requirements, Google Cloud has entered into a multi-year agreement with Dagang NeXchange Berhad (DNeX). DNeX will be the authorized partner by Google Cloud to operate Google Distributed Cloud (GDC) as a Managed GDC Provider (MGP). The partnership will focus on air-gapped configurations for organizations in Malaysia.

Operating entirely withing the customer’s chosen environment, GDC is a Google Sovereign Cloud that requires no connectivity to a Google Cloud region or the public internet. Organizations in Malaysia will be able to accelerate their digital transformation plans with Google, being assured of data sovereignty, operational sovereignty as well as software sovereignty.

As a strategic partner, DNeX will offer deployment options for Google Distributed Cloud air-gapped on-premises or within partner data centers, with flexible hardware options—including general-purpose CPUs and GPUs—to address organizations’ specific workload requirements. MGPs will drive the adoption of GDC air-gapped by providing expert deployment, operational and managed services to end customers.

Karan Bajwa, Vice President, Asia Pacific at Google Cloud stated that Google Cloud is pleased to be partnering DNeX to deliver GDC air-gapped for local organizations, especially with the public sector and regulated industries required cloud capabilities that guarantee digital sovereignty.

“Google Cloud and DNeX will empower organizations with the state-of-the-art distributed cloud infrastructure, developer tools, and AI services they need to drive digital transformation on their own terms. In addition, we look forward to working with DNeX to address high-value AI use cases across their business, especially in semiconductor manufacturing, in line with the government’s ambition of elevating Malaysia's semiconductor ecosystem in the global value chain,” said Bajwa.

Bajwa also mentioned that DNex will be able to provide organizations in regulated industries with access to Vertex AI through GDC. As data will be kept security within Malaysia’s borders, regulated industries can develop and deploy sophisticated machine learning and AI applications. Organizations will also have access to Gemma, Google’s family of open AI models as well as Google Cloud’s pre-trained models for speech recognition, translation and optical character recognition with support in Bahasa Malaysia available as well.

For Tan Sri Syed Zainal Abidin Syed Mohamed Tahir Jamalullail, Executive Chairman at DNeX, this unique solution will unlock possibilities for secure and transformative innovation, such as the use of AI and advanced analytics in delivering integrated, citizen-centric digital government services as well as advancing treatments for chronic health conditions and optimizing energy production in hydro or solar power plants.

“This will also expand DNeX’s services offerings in our IT business segment to include hosting services, thereby meeting the growing demand for cloud infrastructure within Malaysia and align with our focus on securing large-scale digitalization projects across the public and private sectors,” he added.

Apart from GDC, DNeX and Google Cloud are also exploring the creation of an AI Center of Excellence in Malaysia. The hub will focus on nurturing AI talent and developing innovative solutions.