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Magna AI and Zchwantech Group signed a USD 700 million MoU to develop sovereign AI infrastructure in Malaysia, including a 20MW AI datacenter in Sarawak. The collaboration aims to create a sovereign AI factory framework integrating data and model pipelines, supporting national-level AI workloads.

The partnership will develop AI applications for priority industries, focusing on predictive intelligence and automation. It seeks to enhance national-scale AI security infrastructure to combat rising AI-enabled cyber threats. The initiative aligns with Malaysia's digital transformation goals, with the signing witnessed by Minister of Communications Datuk Ahmad Fahmi bin Mohamed Fadzil.