Malaysia considers Huawei’s AI chips for sovereign AI initiatives

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Malaysia is considering using Huawei Ascend AI chips as part of its sovereign artificial intelligence capabilities development. In May 2025, Kuala Lumpur had announced plans to deploy approximately 3,000 Huawei Ascend chips by 2026 through a project led by Skyvast with DeepSeek’s language model, before backing away and stating the project lacked official endorsement. Nevertheless, Huawei inaugurated its first AI Lab and Innovation Centre outside China in Kuala Lumpur in April 2026, with Prime Minister Anwar Ibrahim in attendance. In July 2026, Huawei Malaysia signed a memorandum of understanding with the National Cyber Security Agency to collaborate on AI security. Malaysia is pursuing a multi-vendor strategy including both Nvidia and Huawei, with chips accounting for approximately 40 percent of its export economy, and aims to become an AI-driven nation by 2030.

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