Following the announcement of collaboration between YTL Power International Berhad (YTLPOWR, 6742) and the U.S. chip manufacturer NVIDIA to build Artificial Intelligence (AI) infrastructure, both YTLPOWR and its parent company, YTL Corporation Berhad (YTL, 4677), experienced a significant surge in stock prices.

Reportedly, the AI infrastructure will be constructed at YTL's Green Data Center Park in Johor Bahru, with the first phase expected to be operational by mid-2024. According to Prime Minister Datuk Seri Anwar, the investment for this project is approximately USD 4.29 billion (about RM20.09 billion). Therefore, I believe that this AI infrastructure project is poised to bring substantial economic benefits to the region (Kulai, Johor Bahru) and generate numerous employment opportunities.

In order to develop large-scale language models and supercomputers, YTL will deploy NVIDIA's display chips (H100 Tensor Core GPU) in the data center. Additionally, YTL will utilize NVIDIA's AI Enterprise software to streamline AI production. For the record, NVIDIA AI Enterprise includes NVIDIA NeMo, an end-to-end cloud-native framework that has the ability to build, customize, and deploy generative AI models from any location.

At this point, readers may wonder why NVIDIA chose YTL Group as a partner. In fact, the two companies had already collaborated in March of this year when YTL Communications, a subsidiary of YTL Group, introduced NVIDIA's GeForce Now cloud gaming service to Malaysia through its YES 5G network.

In conclusion, the collaboration between Nvidia and YTL is expected to have a positive impact on the Malaysian economy and drive innovation in the field of AI technology. On the other hand, readers may want to keep an eye on property companies in Johor, as there may be investment opportunities arising from this development.

———————————————————————————————————————————————————

Disclaimer: The above is purely for educational purposes and reflects personal opinions. It does not constitute any buying or selling recommendations.

If you are interested in opening a CGS-CIMB trading account, please sign up using the following link:

https://forms.gle/kZVCyDxUurxChMcg9

———————————————————————————————————————————————————————————