10/11/24, 5:05 PM MDEC’s commissioned study shows Malaysia’s big data analytics market expected to grow to US$1.
9b by 2025
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MDEC’s commissioned study shows Malaysia’s big data
analytics market expected to grow to US$1.9b by 2025
By Arjuna Chandran Shankar /
17 May 2021, 12:46 pm
theedgemarkets.com
KUALA LUMPUR (May 17): The big data analytics (BDA) market in Malaysia is
expected to grow to US$1.9 billion (about RM7.85 billion) in 2025, from US$1.1
billion in 2021, according to Malaysia Digital Economy Corp’s (MDEC)
commissioned study by IDC.
The study noted that the services sector will contribute 64% of total data-
driven spending, with the banking and telecommunications sectors
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10/11/24, 5:05 PM MDEC’s commissioned study shows Malaysia’s big data analytics market expected to grow to US$1.9b by 2025
contributing nearly a third, MDEC noted in a statement on May 10.
MDEC senior vice-president for investment and brand cum chief marketing
officer Raymond Siva said the Covid-19 pandemic had been a game changer in
terms of demand for BDA, backed by surging demand for data and cloud
services.
He added that companies investing in BDA will continue to expand their
presence by having Malaysia as a base for their regional and global businesses
and operations to manage their core functions.
“As Asia maintains its momentum as the fastest-growing region in the world,
we see investors’ confidence in Malaysia’s digital ecosystem continue to soar
amid the global pandemic. Existing companies have also started reinvesting in
Malaysia,” said Siva.
According to the statement, DataMicron Systems Sdn Bhd, a local MSC
Malaysia company, and TDCX, a customer experience service provider, have
started embarking on an aggressive expansion, starting with BDA as part of
their new investment portfolios.
MDEC stated that BDA is central to Malaysia’s digital economy, resulting in
growth of other digital technologies, such as artificial intelligence (AI), the
Internet of things (IoT) and advanced automation.
The agency noted that private-sector engagement is essential in attracting the
desired level of digital investment into the country.
“With supportive government policies and through various other MDEC-led
capacity building programmes with local and international partners, MDEC has
sought to better equip the local workforce with in-demand for rapid-growth
digital-led jobs ranging from online content creation, data science and
analytics, to programming,” it added.
It will also continue to support talent development within the BDA realm in
Malaysia as it believes that it will help Malaysia’s talent and economic players
to tap into the US$13 trillion revenue projected to be added by data-fuelled
applications in the global economy by 2030.
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10/11/24, 5:05 PM MDEC’s commissioned study shows Malaysia’s big data analytics market expected to grow to US$1.9b by 2025
“Asia-Pacific’s BDA industry can expect to grow at the fastest rates and in
excess of a 15% CAGR (compound annual growth rate) by 2019-2024 due to
increased BDA investments by many start-ups and businesses,” said
Raymond, citing a recent analysis by IDC's Worldwide Big Data and Analytics
Spending Guide 2020.
The report forecast that revenue from BDA solutions reached US$22.6 billion in
2020, with a year-on-year (y-o-y) growth of 12% in the Asia-Pacific region. It
also predicted that this was mainly due to increasing confidence of decision-
makers that investments in BDA will be necessary for achieving digital and
business resiliency amid the Covid-19 pandemic.
Edited By Joyce Goh
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