(Kuala Lumpur, 14th) The United States has released more details on new export restrictions on artificial intelligence (AI) chips. Kenanga Investment Bank believes that the impact of the new regulations varies across industries in Malaysia, while restrictions on AI computing power by the USA for other countries globally pose midterm risks in the field of Malaysian datacenters.
Kenanga Investment Bank cited the latest information from the Biden administration, stating that countries like Malaysia classified as 'Level 2 restricted' face lower restrictions on AI chip imports, potentially gaining a larger share of AI chip imports than previously expected.
The United States has also categorized Verified End Users (VEUs) into two types: Universal VEU (UVEU) and National VEU (NVEU). NVEUs allow certified companies from Malaysia and other countries to import computing power equivalent to up to 0.32 million advanced graphics processing units (GPUs) of AI chips in the next two years.
The following is what Kenanga Investment Bank believes about the impact of the latest measures in the USA on our country's Datacenter industry chain:
Can construction industry benefit from this disaster?
Analysis suggests that the US restrictions may require local datacenter construction companies to rush their work, with a slightly positive impact.
This may prompt the accelerated allocation of resources and construction speed of hyperscale NVEUs in Malaysia.
However, the analysis still warns that in the medium term, the construction speed of data centers is unlikely to continue to exceed that of the USA and its allies, as the total computing capacity needs to comply with a 7% proportion limit.
This may limit the growth rate in the domestic data center sector.
Nevertheless, the analysis...

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