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Malaysia entering decisive five-year window for AI competitiveness, says Gobind

November 25,2025

By:Business Today Editorial

Digital Minister Gobind Singh Deo has called on Malaysian businesses to reinvent themselves as AI-centred organisations within the next 60 months, emphasising that the country cannot afford to fall behind as global competitors push ahead with intelligent technologies.

The minister said the shift towards AI-powered operations is now ‘non-negotiable for both industry and government’ as Malaysia enters a decisive period for digital transformation.

“As stated by Prime Minister Datuk Seri Anwar Ibrahim, the AI Nation 2030 vision sets a bold national direction and signals that Malaysia must prepare for an era far more complex than the traditional smart nation agenda,” he said.

“This is why the Ministry of Digital is accelerating policies, infrastructure development and regulatory reforms to ensure the country is not only ready, but competitive and ahead of the curve.”

Gobind stressed that the next five years will determine whether Malaysia can build the infrastructure, data systems and talent needed to compete globally. He said that while connectivity has improved, weaknesses in data quality, digitisation and compute capacity remain major barriers to scaling AI.

“We must ask ourselves whether we have the foundations to pivot to what the world expects of us in 60 months,” he said. “Conversations on transformation are important, but without trusted infrastructure, digitised data and compute power, we will not be able to act. If we want to be an AI nation, we need to build an ecosystem that is ready for it.”

The government is already accelerating work on several structural components, including the development of the Data Commission, the implementation of the Data Sharing Act and strengthened cybersecurity requirements under the Cyber Security Act. These measures, said Gobind, are designed to build trust, ensure data integrity and create secure conditions for AI-driven innovation.

However, Gobind emphasised that government action alone will not be enough. He urged industry leaders to examine their own operational gaps, including shortages of data analysts, compute infrastructure and AI-ready talent within their organisations.

“Technology is moving fast and creating new spaces. Industry must identify these gaps and fill them with new talent and new capabilities,” he said. “Your competitor is already thinking about this. If they succeed first, it will be very hard for you to catch up.”

The minister also announced that the Ministry of Digital will soon introduce the Madani Government Innovation Initiative, a new mechanism that enables ministries and government agencies to publish real problem statements for industry to solve.

“This initiative encourages co-creation, practical digital solutions and closer collaboration between the public sector and Malaysia’s technology ecosystem,” he said. “Through this initiative, ministries will be able to present their challenges openly and invite industry to offer solutions.

“This is how we walk the talk. It is how we inspire confidence and show that government is ready to work with industry to deliver meaningful change.”

Gobind said this approach reflects the broader Madani Government’s commitment to partnership-led transformation and stressed that Malaysia’s digital ambitions require collective action from both public and private sectors.

He was speaking at the PIKOM Leadership Summit (LEAD 2025), the association’s premier C-level gathering bringing together leaders from government, industry and academia to shape Malaysia’s next era of digital and cross-border growth.

PIKOM Chairman Alex Liew said the Madani Government’s upcoming Innovation Initiative reflects the kind of public–private cooperation Malaysia needs to accelerate its digital ambitions.

“When government publishes real problem statements and invites the industry to respond, it creates a practical bridge between policy and execution. This is how we build solutions that matter.”

He said that PIKOM fully supports deeper collaboration with ministries and agencies as Malaysia prepares for the next phase of AI-driven growth, adding that the initiative sends a strong signal of trust in Malaysia’s technology ecosystem. (Pic below – Minister Gobind with PIKOM Council)

“Gobind has brought clarity, urgency and vision to Malaysia’s digital direction. His commitment to strengthening infrastructure, data readiness and cybersecurity empowers the industry to invest, to scale and to eventually realise our nation’s fullest potential.”