KUCHING — SoftBank Group Corp, Grab Holdings Limited and Petroleum Sarawak Berhad (PETROS) have signed a Joint Development Agreement (JDA) to advance plans for an initial combined investment of US$1 billion (approximately RM4.07 billion) to develop artificial intelligence (AI) infrastructure in Sarawak.
The proposed investment comprises US$800 million from SoftBank Group, US$100 million from Grab and US$100 million from PETROS, with funding to be deployed in stages subject to key development milestones, customer contracts and the fulfilment of necessary conditions.
The agreement marks the next phase of the partnership following a Framework Agreement signed by the three parties in Kuching on Oct 8, 2026.
The collaboration aims to develop AI infrastructure with a long-term target of five gigawatts (GW) of AI computing capacity, while exploring opportunities across the wider AI value chain, including computing services, advanced technologies, robotics, workforce development and community initiatives.
The proposed investment forms part of a multi-year development plan, with the parties also seeking additional investors and hyperscaler customers to support the project’s expansion.
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SoftBank Group Chairman and Chief Executive Officer Masayoshi Son said the partnership would help advance AI development in the region while creating long-term economic opportunities for Sarawak and Malaysia.
“We are proud to work with Sarawak to advance AI for the benefit of the region and its people. Together with Grab and PETROS, we aim to create lasting opportunities in Sarawak and support the development of technology-driven economic activity across Malaysia and the wider region,” he said.
Grab co-founder, Chairman and CEO Datuk Anthony Tan said Sarawak’s focus on sustainable energy and long-term development vision made it a suitable location for AI infrastructure serving Southeast Asia.
He said Grab would contribute its experience in developing AI tools for millions of users, merchant-partners and driver-partners to help ensure the technology generated high-value jobs and opportunities for Sarawakians.
PETROS Group Chief Executive Officer Datuk Janin Girie said the initiative was part of efforts to prepare Sarawak for its next phase of economic transformation beyond the oil and gas sector.
“This is about preparing Sarawak for its next phase of economic transformation beyond oil and gas. We want to build a high-income economy where technology and innovation create new industries, opportunities and high-value jobs for Sarawakians,” he said.
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He added that bringing advanced AI and computing capabilities closer to local businesses, industries and talent would strengthen their capabilities, improve competitiveness and expand participation in the digital economy.
PETROS is advancing critical gas infrastructure under the Sarawak Gas Roadmap to strengthen the state’s energy security and support industrial expansion.
As the Master Developer of the Kuching Low-Carbon Hub, the company is also developing an integrated low-carbon industrial ecosystem encompassing upstream development, carbon capture solutions, liquefied natural gas (LNG)-to-power facilities, downstream processing, industrial parks, gas terminals and deep-sea port infrastructure.
These initiatives are expected to establish the energy and industrial foundations needed to attract investment and support emerging high-value industries, including AI.
Sarawak’s energy resources, established power generation capacity and growing digital economy ambitions provide a strong foundation for large-scale AI infrastructure development.
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The project is expected to support Malaysia’s ambition to become a regional AI hub while enabling Sarawak to diversify its economy and transition towards higher-value industries.
Once fully operational, the facilities are expected to rank among the largest AI infrastructure developments of their kind in Asia, providing governments, multinational corporations and small businesses with access to advanced computing capabilities.
The project will be developed in close collaboration with the Federal Government and Sarawak Government, in alignment with the National AI Action Plan 2026–2030 (AI Nation 2030) and Sarawak’s Post COVID-19 Development Strategy 2030.
