- Office expands AI, cloud, gaming, and cross-border payment innovation
- Over 90% local hires drive Tencent’s AI and innovation initiatives forward
Chinese technology company Tencent inaugurated its new Malaysian office on 1 Dec, which it said marks a milestone in its long-term commitment to Malaysia while reinforcing the country’s position as a strategic hub for its international expansion and global technology operations.
According to Tencent, the office, which is targeted to hit 500 employees by end 2026 from its current headcount of less than 100, is designed to function as a global tech, digital innovation, and customer experience Hub. It draws on Malaysia’s world-class digital infrastructure, supportive government policies, and deep talent pool to centralise high-value digital functions.
Tencent declined to share its projected investment into Malaysia with the expansion plans. A spokesperson told DNA that as a publicly listed company, it does not disclose specific figures for local markets. In comparison US-listed companies such as Google, Microsoft, Oracle and Amazon do share their investment figures when announcing plans for Malaysia and other countries in the region. And Tencent has spoken of a US$500 million (RM2.07 billion) investment into data centres in Indonesia.
Judy Wong, Country Manager of Tencent Malaysia, emphasized that Malaysia’s talent is central to the company’s global strategy.
“This new office marks the beginning of an exciting next chapter, where we will deepen our Cloud and AI innovation partnerships, support Malaysia’s digital ambitions, cross-border collaboration, and continue nurturing local creative and technology talent.”
She highlighted that Malaysia is not just a market for Tencent, but also an innovation-based talent hub and a strategic location for its regional growth and global innovation with plans to expand hiring and roll out more talent development initiatives with universities and government agencies to build capabilities in AI, cloud, gaming, and creative fields.
“This aligns with Tencent’s priorities to deepen AI collaborations and introduce new technologies such as PalmAI, digital avatars, 3D AI modelling, and AI agents.”
Gobind Singh Deo, Minister of Digital, who officiated the event highlighted the mutual benefits of the expansion, noting that Tencent’s presence further validates the country’s progress toward becoming a leading digital nation by 2030.
“Tencent’s growing expansion in Malaysia demonstrates the growth of our digital economy and the ability of the local workforce to meet the demands of leading internet companies in today’s deeply interconnected global economy.”
He added that the company’s plans align closely with the upcoming 13th Malaysia Plan (RMK-13), which emphasises innovation-driven economic growth.
Innovation-based talent hub
Tencent first entered Malaysia in 2013 through a partnership with a local tech provider and launched WeChat in Bahasa Melayu, before opening its first office in 2017 with fewer than 50 staff. By 2025, Tencent Malaysia had almost doubled its workforce, with 90% comprising highly skilled local professionals in development operations, data analysis, content compliance, and customer experience.
Emphasizing a point on the broader talent agenda that he frequently makes, Gobind said, “At the Digital Ministry’s core, we are committed to expanding our digital talent agenda through university–industry pathways, TVET specializations, and targeted programs in AI, cloud, cybersecurity, creative content, and gaming. Malaysia must be a producer of digital talent, not just a consumer of it.”
Beyond Malaysia, Tencent operates regional hubs in Southeast Asia. Singapore supports engineering, business development, and corporate functions, while Indonesia focuses on local operations and data centres, including its first Jakarta Internet Data Centre (IDC) launched in April 2021.
Driving cross-border digital growth
Tencent’s expansion is expected to bolster several economic sectors, particularly tourism and digital commerce.
Etienne Ng, Regional Director of Southeast Asia for Weixin Pay (also known as WeChat Pay), noted that Malaysia has emerged as one of the fastest-growing markets for Chinese tourist spending within the WeChat ecosystem.
“Following the 2024 integration of Weixin Pay with Malaysia’s DuitNow QR through PayNet’s interoperability framework, the country recorded a 300% surge in Weixin Pay transactions during China’s Golden Week. This far outpaced global growth at 21% and Singapore’s 32%,” Etienne said, adding that Tencent is leveraging this success to support the ‘Visit Malaysia 2026’ campaign.
Etienne also revealed upcoming plans for 2026 that will enable Malaysian e-wallets, particularly GrabPay and ShopeePay, to be accepted in China, further strengthening digital trade connectivity.
On the gaming front, Tencent, through its Level Infinite operations, continues expanding Malaysia’s fast-growing gaming and esports ecosystem. Eugene Chin, Country Manager for Malaysia at Level Infinite / Tencent Games, highlighted the company’s sustained investments.
“The focus is on content creation, supporting local talent, and professionalizing the esports scene.”
He cited localization successes, including a “viral durian-themed in-game costume co-created by Malaysian students”, and the “successful hosting of the Honor of Kings (HOK) Nation Clash 2025 in Kuala Lumpur”, which reinforced Malaysia’s rising profile as a regional e-sports hub.
To further develop the talent pipeline, Level Infinite has partnered with institutions such as Claz’room College for mentorship and internship programs.
Meanwhile, Tencent Cloud is accelerating AI adoption across key Malaysian industries. Kenneth Siow, General Manager for Singapore and Malaysia at Tencent Cloud International, said the company is focusing on retail, finance, tourism, and healthcare use cases.
“Tencent is expanding partnerships with local technology players, including signing a Memorandum of Understanding with Opensys Technologies and Boost to drive ecosystem collaborations.”
Digital trust and future-ready technology
As Malaysia accelerates its digital transformation, data security and governance remain top priorities. When asked how Tencent ensures compliance with local regulations, James Yang, CEO of Tencent Global, offered a firm assurance.
“We always work with local authorities and adhere to local regulations. We also help our customers remain compliant with regulators. Our agreements and partnerships are governed by strict service-level agreements and protected by strong, legally binding master service agreements.”
In his closing remarks, Gobind framed Tencent’s investment as a vote of confidence in Malaysia’s digital future.
“Malaysia benefits when digital players invest with a long-term view. It conveys investors’ confidence, symbolizes strength in the Malaysian digital policy landscape, and ultimately aligns with our national priorities to develop into an artificial intelligence nation by 2030.”
