Kuala lumpur: Local companies have competitive expertise in artificial intelligence (AI) and should be given priority to carry out AI projects, said Deputy Minister of Investment, Trade and Industry Sim Tze Tzin today.
According to BERNAMA News Agency, the deputy minister emphasized that when local firms are granted the opportunity to implement AI projects, they gain valuable experience, develop skills, and enhance their capabilities. This, in turn, opens up the potential for these companies to market their products or services internationally in the future.
Sim advocated for local, federal, and state governments to prioritize local companies, urging the adoption of a localization approach to provide these businesses with opportunities. "Prioritise local companies; we have engineers and AI startups with expertise. If we give them priority, one day we will produce outstanding AI companies," he stated during a question-and-answer session in the Dewan Rakyat.
Sim was responding to a supplementary question from Datuk Seri Hasni Mohammad (BN-Simpang Renggam) about the Ministry of Investment, Trade and Industry's (MITI) plans to cultivate an innovative and creative society, beyond just being a technology consumer base.
Additionally, in response to a question from Rushdan Rusmi (PN-Padang Besar) regarding efforts to develop a smart industrial ecosystem in the country's border areas, Sim highlighted that AI spans all sectors, offering opportunities across various industries and regions. He emphasized the necessity of AI capability to avoid falling behind in global competition.
Sim also urged the Perlis state government and the Home Ministry to leverage AI to enhance operational efficiency, particularly at the borders.
Through Budget 2026, Malaysia aims to become a regional leader in AI by strengthening the entire value chain, covering research, development, commercialisation, and innovation (RDCI). To achieve this, the government has allocated nearly RM5.9 billion across multiple ministries as part of an integrated effort to make Malaysia an AI nation by 2030.
From the latter half of 2024 through 2025, Malaysia attracted approximately RM3.6 billion in AI-related technology investments, including initiatives for AI development and support for over 60 local startups.