Privasia Breaks Ground on 10MW Data Center in Malaysian State of Perak
April 10, 2026
Malaysian IT and telecommunications firm Privasia Technology Berhad is making its inaugural entry into the data center market with a significant new facility in Perak, signaling a strategic diversification and contributing to the geographical decentralization of digital infrastructure within Southeast Asia. The move underscores the region's ongoing appeal as a growing hub for data center investment, driven by increasing digital demand and strategic location.
The company has formally awarded a RM569 million (approximately US$144 million) contract to Inspur Cloud Information Technology (Malaysia) Sdn. Bhd., a subsidiary of China's Inspur Group, for the engineering, procurement, construction, and commissioning of the project. The data center, named Silverstreams, will be situated on a 49-acre site in the town of Bagan Datuk in southern Perak. The initial phase, targeted for completion by late 2027, is designed to deliver 10MW of IT capacity. According to the company's plans, the full-scale development could eventually offer up to 25MW of capacity across a three-story structure.
Privasia's partnership with Inspur Cloud introduces a notable dynamic, given Inspur Group's status. The Chinese technology conglomerate, primarily known as a major server manufacturer, was placed on the U.S. Entity List in March 2023, which restricts American companies from conducting business with it without a license. The collaboration highlights the complex, multi-polar supply chains shaping global data center development.
The project's location in Perak represents a deliberate shift away from Malaysia's traditional data center clusters concentrated in the Klang Valley (encompassing Kuala Lumpur) and Johor Bahru. This expansion into a northwestern state is poised to enhance digital resilience, cater to latent regional demand, and potentially attract further investments to emerging secondary markets. The development of Silverstreams marks a pivotal step for Privasia, transitioning from service provider to infrastructure owner and operator in Malaysia's competitive digital economy.
Source: datacenterdynamics
