AWS calls for stronger government-industry AI ties in Budget 2027
The company cited procurement incentives and support for local providers as ways to encourage wider AI adoption in Malaysia.
Amazon Web Services (AWS) has identified Budget 2027 as an opportunity for Malaysia to build its artificial intelligence (AI) capabilities through closer cooperation between industry and government, according to AWS Malaysia country manager Hussein Mohd Ali.
Hussein suggested that incubation programmes, procurement incentives and co-investment mechanisms could encourage adoption and support Malaysia’s local AI ecosystem. He said such policies could respond to businesses’ preference for locally based software providers.
Figures Hussein cited showed that external consultants provided AI capabilities for 57 per cent of Malaysian businesses. Meanwhile, 69 per cent placed greater importance on local software providers than on the platforms underpinning their AI adoption.
The company’s Unlocking Malaysia’s AI Potential 2026 report recorded an adoption rate of 38 per cent, compared with 27 per cent a year earlier. Its research covered 1,000 business leaders and put the number of businesses using AI at more than 3.4 million.
Hussein noted that AI had been designated a growth sector under the government’s “Made by Malaysia” ambition. Budget 2027 is scheduled for tabling on Oct 9 by Prime Minister Datuk Seri Anwar Ibrahim, who also serves as Finance Minister.
