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Global Tech Hub on the Rise

After almost two decades of steady growth, Cyberjaya is ready for its next transformation. Under the Global Tech Hub (GTH) Blueprint, Malaysia’s first cybercity is now being primed for the world stage.

Humble Beginnings

The establishment of the Multimedia Super Corridor (MSC Malaysia) and Cyberjaya in particular, will enable Malaysians to leapfrog into the Information Age. We hope to create the ideal environment that will attract world-class companies to use it as a regional multi-cultural information age hub.

Tun Dr Mahathir Mohamad, former Prime Minister of Malaysia, during Cyberjaya’s groundbreaking ceremony on 17 May 1997

Every story has a beginning, and ours begins on 2,800 hectares (6,960 acres) of mostly undeveloped land, 40km south of Kuala Lumpur. It is the mid-90s, and Malaysia’s economy has been dubbed one of Asia’s ‘tiger cubs’, thanks to an aggressive 8 per cent growth since 1988—the second fastest after China. 

The site where our particular story takes place is a former palm oil plantation, one of many swathes of monoculture left over from Malaysia’s agricultural days. As the pages of history turn, we see this land being uprooted and sown with very different seeds, marking a new era in Malaysia. We witness the machinery of development busy laying the foundations of Malaysia’s first intelligent cybercity, and with it, a new hope for the nation.

Cyberjaya. A space for startups to create and innovate; for students to pursue dreams of changing lives with technology; for tech giants to make new discoveries; for small businesses to conquer the world one market at a time. For creative, entrepreneurial minds, it was going to be the place to call home. 

PARTNERS IN A MASTERPLAN

The idea for a high-tech city akin to the Silicon Valley stemmed from a study on the setting up of the MSC Malaysia by management consultancy McKinsey & Co in 1995. Cyberjaya would be the core of MSC Malaysia, a designated zone where technology entrepreneurs and global multinationals enjoy attractive tax breaks, access to world-class human capital and infrastructure, at developing nation costs. The ambitious project would spearhead Malaysia’s transformation into a new knowledge economy, one that would be better able to compete on the world stage.

To ensure the project’s success, four key stakeholders were appointed to oversee distinct responsibilities: 

Cyberview-Logo

Cyberview Sdn Bhd, leader in the development of Global Technology Hubs


mdec

Malaysia Digital Economy Corporation (MDeC), custodian for MSC Malaysia


sepang

Majlis Perbandaran Sepang (MPSP), local government and approval authority


setiaharuman

Setia Haruman Sdn Bhd, master developer of Cyberjaya


Under the lead of Cyberview Sdn Bhd as the Cybercity Manager, a supportive and supple ecosystem was developed to attract investors. This included providing a collaborative environment and incentives such as competitive rental rates, flexible repayment schemes, building allowances, and customised solutions for investors based on their business requirements, budget, and growth plans. With all systems in place, the next step of the strategy was simple, on paper at least: Woo the big tech players to settle in.

HISTORY MADE

In 1996, Nippon Telephone and Telegraph (NTT) agreed to develop a research and development (R&D) facility in Cyberjaya, which proved to be the project’s catalyst. Soon, other giants like Dell, HP, DHL and Shell began to follow suit. With the global icons establishing their presence in Cyberjaya, the entire ecosystem began to form naturally.

Cyberjaya was launched on 17 May 1997 as a fully integrated city, and Malaysia's pioneer tech hub. Looking back, the road to success has not been without its challenges.

Almost two decades after its inception, Cyberjaya has reached the tipping point where it has the right scale and mass, and most importantly, the proven track record in helping companies to grow and prosper.



CYBERJAYA’S DEVELOPMENT PHASES

  • 1997
  • 2002
  • 2007
  • Today

During this period, Cyberjaya ironically bucked the growth trend. During the 1997/98 Asian financial downturn, Cyberjaya boomed but as the economy was coming out of the crisis in the early 2000s, growth stagnated.

After a slowdown from 2002–2004, Cyberjaya underwent a second surge in development.

Cyberjaya has proven to be more resilient despite the global financial meltdown of 2008–2009. The city saw a surge in growth between July 2006 to July 2008, with 172 companies moving to Cyberjaya, a 57% increase from the period between 1998 to June 2006.

A NEW ERA BEGINS
1997
Cyberjaya was launched on 17 May 1997 as a fully integrated city, and Malaysia's pioneer tech hub.
BOOM TOWN
17B
Cyberjaya properties received a total investment of MYR 17B in 2014, up from 11.07B in 2013 and 3.16B in 2010.
INTELLIGENT CITY
38K / 88K
Out of its 88,000 population, almost half (40,000) consists of knowledge workers from the creative and R&D clusters.

A New Mandate

To date, 71% of Cyberjaya’s land has been developed, is under construction, or in planning stages. Meanwhile, the number of renowned multinationals relocating their operations to Cyberjaya continues being on the up trend. From a mere 21 pioneering companies, Cyberjaya is today home to more than 800 companies, of which 40 are global and regional multinationals. 

about_thestory_01

This sustainable, open ecosystem has enabled Cyberjaya’s business community to grow progressively. As a result, Cyberjaya raked in MYR 12.5 billion in investments in 2012.

From a hub designed to attract research and development (R&D) initiatives, Cyberjaya has eventually become one of the primary locations for the global shared services and outsourcing (SSO) sector, ranked third only behind India and China. New investments by companies under the Creative Multimedia Cluster (CMC) also increased by 32% from 2011 to 2012, adding MYR 0.3 billion to the country’s GDP, and creating 1,887 new jobs.

 



Future Blueprint

GLOBAL TECHNOLOGY HUB 

Innovation is at the heart of daily life in Cyberjaya. While its original aspirations were focused on ICT, Cyberjaya is now moving to the next level by positioning itself as a more encompassing global tech hub.

Cyberjaya’s emergence as a global tech city will depend on the successful implementation of the Global Tech Hub (GTH) Blueprint, designed to create a vibrant ecosystem for entrepreneurs and small to medium enterprises (SMEs) to flourish and drive the city’s economic growth.

This transformation is about attracting high value investments in the wider technology industry into Cyberjaya. Our strategy is to invest and strengthen these key enablers:

  • Attracting Foreign Direct Investments (FDI) and Domestic Direct Investments (DDI)
  • Validating local innovations
  • Providing necessary physical infrastructures
  • Completing the ecosystem
  • Enriching talent in Cyberjaya

 
Nine key technology sectors have been identified under the Global Tech Hub Blueprint. They are:

  • i_infosecurity
    Information Security
  • i_creative
    Creative Content
  • i_mobileinternet
    Mobile Internet
  • i_cloudcomputing
    Cloud Computing
  • i_bigdata
    Big Data Analytics
  • i_greentech
    Green Technology
  • i_biotech
    Biotechnology
  • i_wearabletech
    Wearable Technologies
  • i_smartgrid
    Smart Grid Technology


CYBERJAYA CITY CENTRE

To support the city’s new vision and growth plans, a few development projects have been mooted, one of which is the development of a city centre that will create a focal point for Cyberjaya and its surroundings within a 30–50 km radius.

Easily accessible and pedestrian friendly, the project, with a Gross Development Value (GDV) of MYR 9 billion, is now at its evaluation stage. The project will be developed in phases and is expected to be fully completed within 15 years. 

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