SoftBank Group Corp., Grab Holdings Limited and Petroleum Sarawak Berhad signed joint development agreements on November 9, 2026. Together they plan US$1.85 billion in initial seed capital to develop AI compute capacity in Sarawak and Peninsular Malaysia. The projects target five gigawatts or more of capacity over the long term. Funding will be released in stages, tied to development and customer milestones.
Key Facts At A Glance
- Initial combined seed capital: US1.85billion. SoftBank Group is contributing US1 billion, Grab US750 million and PETROS US100 million.
- Sarawak project: US$1 billion, with SoftBank Group as majority shareholder and project lead.
- Peninsular Malaysia project: US$850 million, with Grab as founding shareholder and lead developer.
- Long-term target of five gigawatts or more of AI compute capacity.
- Funds will be deployed in stages as projects reach development and customer contract milestones.
- Grab Chairman and CEO Anthony Tan is expected to oversee both projects. Grab’s board has approved his involvement.
- SoftBank Group has agreed in principle to a five-year lock-up on Grab shares held directly by a SoftBank Group entity.
- The forming of joint ventures and each party’s investment terms still depend on definitive agreements.
SoftBank Group Corp., Grab Holdings Limited and Petroleum Sarawak Berhad (PETROS) have signed joint development agreements to build AI infrastructure in Malaysia. The initial combined seed capital is USD1.85billion:Soft Bank Group is contributing USD1 billion, Grab US750million and PETROS US100 million. The companies announced the agreements on November 9, 2026, in Tokyo and Singapore. Grab also disclosed them to the U.S. Securities and Exchange Commission in a Form 6-K filing.
The capital is the first stage of a multi-year build-out targeting five gigawatts or more of AI compute across Sarawak and Peninsular Malaysia. The companies said that, once fully operational, the facilities are expected to be among the largest AI infrastructure of their kind in Asia. They are meant to serve governments, multinational companies and small businesses.
Two Projects With Different Ownership
The investment is split between two projects with different ownership. The Sarawak project carries USD1 billion, about RM4.07 billion, ininitial seed capital. SoftBank Group is contributing USD 800 million, and Grab and PETROS US$100 million each. SoftBank Group will lead the project and hold a majority stake, with Grab and PETROS as strategic partners. Grab has an option to increase its stake in Sarawak, which would reduce SoftBank Group’s stake. SoftBank Group would remain the majority shareholder.
The Sarawak agreement follows a Framework Agreement the three parties signed in Kuching on October 8, 2026. The November agreement moves the partnership into its next phase. Beyond compute capacity, the partners plan to explore AI compute and services, advanced technologies, robotics, and local workforce and community development in Sarawak. PETROS, Sarawak’s state-owned integrated energy company, will contribute energy and infrastructure development expertise. It is also the Master Developer of the Kuching Low-Carbon Hub.
In Peninsular Malaysia, Grab leads as founding shareholder, contributing US650 million of the proposed US850 million in initial seed capital. SoftBank provides the remaining US$200 million. Grab plans to bring in long-term strategic investors as the project scales. Further development will rely on third-party equity and non-recourse project financing.
Staged Funding And Governance
Funding will be deployed in stages. Each stage depends on projects reaching key development and customer contract milestones, plus other closing conditions. The joint development agreements contain binding development and funding obligations. Joint venture formation and each party’s investment terms remain subject to definitive agreements. The parties also plan to seek more investors and hyperscaler customers.
On governance, Anthony Tan, Grab’s co-founder, Chairman and CEO, is expected to oversee both projects, with dedicated management teams running daily operations. Grab’s Board has reviewed and approved his involvement. SoftBank Group has also agreed in principle to a five-year lock-up on Grab shares held directly by a SoftBank Group entity, subject to agreed terms and customary exceptions.
Grab began in Malaysia. Besides ride-hailing and delivery, it runs digital banking there through GXBank and operates the Jaya Grocer and Everrise supermarket chains.
Demand Outlook And Policy Alignment
The companies cited the e-Conomy SEA 2026 study by Google, Temasek and Bain & Company. It found that per capita AI usage across Southeast Asia’s six largest economies is about one-tenth of the U.S. level. It projects that regional AI usage will grow by up to 60-fold by 2030.
The projects will be developed with Malaysia’s Federal Government and the Sarawak Government. They are aligned with the National AI Action Plan 2026 to 2030, known as AI Nation 2030, and with Sarawak’s Post COVID-19 Development Strategy 2030. The facilities will follow Malaysia’s renewable energy use guidelines. Their designs call for high-efficiency infrastructure that reduces water use and reliance on local power grids.
SoftBank Group Chairman and CEO Masayoshi Son said “AI infrastructure will power the next wave of growth, and Malaysia has the talent and ambition to help lead it.” Tan said the infrastructure would be built in Malaysia to serve Southeast Asia and speed up the development of localized AI solutions.
Several details have not been made public: specific site locations, construction timelines, how much capacity each stage will deliver, and the identities of any hyperscaler customers. No government reaction appeared in the reporting reviewed for this article.