Kuala lumpur: Malaysia must move beyond merely consuming artificial intelligence (AI) technologies by laying the groundwork for corporations, small and medium enterprises (SMEs), and start-ups to develop and scale AI solutions for the wider ASEAN market, said Deputy Communications Minister Teo Nie Ching.
According to BERNAMA News Agency, Teo emphasized that Malaysia's AI ambitions should extend beyond consumption, underpinned by strong digital foundations such as connectivity, computing capacity, cloud and data infrastructure, and intelligent networks. Speaking at the M360 ASEAN 2026 session titled 'AI-First Enterprises: Driving Innovation and Business Transformation', Teo stated that AI is increasingly becoming a fundamental capability that will shape how businesses compete, innovate, and create value in the burgeoning ASEAN market.
Teo highlighted Malaysia's robust connectivity, noting that Internet coverage in populated areas reached 99.75 per cent as of July 31, 2026, under JENDELA. The ongoing 5G rollout and SALAM submarine cable further enhance capacity and resilience. She stressed that becoming AI-first must also mean becoming 'people-first', as AI will transform jobs and organizational operations, necessitating continuous reskilling and upskilling of the workforce.
She further noted that the success of AI should be measured by its widespread benefits, allowing SMEs and communities to participate in the transformation. As AI becomes embedded in business operations and decision-making, issues such as privacy, cybersecurity, transparency, and accountability become increasingly important. Teo stated that for businesses, responsible AI is a competitive advantage, where trust is crucial.
On a regional level, Teo pointed out that ASEAN's digital economy could reach USD 2 trillion by 2030 with effective implementation of the ASEAN Digital Economy Framework Agreement (DEFA). Malaysia is well-positioned to build on its existing digital base, with its ICT and e-commerce sector contributing RM451.3 billion, or 23.4 per cent of the economy, in 2024.
Teo mentioned that Malaysia's transformation is anchored in its ambition to become an inclusive and sustainable AI Nation by 2030, with the National AI Action Plan 2026-2030 serving as a roadmap. At the ASEAN level, the ASEAN Responsible AI Roadmap 2025-2030 and ASEAN AI Safety Network (ASEAN AI SAFE) will enhance regional cooperation in innovation, skills, governance, and risk management.
The M360 ASEAN 2026 event, organized by GSMA Asia Pacific, brought together ministers, regulators, and industry leaders to discuss critical issues such as digital trust, AI, resilient infrastructure, and digital integration. The event, endorsed by the Ministry of Communications and hosted by the Malaysian Communications and Multimedia Commission (MCMC), marked the first time it was held in the ASEAN region, specifically in Malaysia.