Malaysia is leaning toward using Huawei’s artificial intelligence chips to power a sovereign AI initiative.
Bloomberg reported the proposal would make Huawei kit the backbone of a 2 billion ringgit programme intended to give Kuala Lumpur greater control over national data, and that officials have not settled procurement quantities or logistics.
Huawei, the Shenzhen‑headquartered maker of telecom gear, servers and enterprise AI infrastructure, would supply the hardware under the plan.
The move comes despite strong opposition from the Trump administration and renewed US warnings about Huawei’s chips, including references to the company’s Ascend 910 line in previous export‑control guidance.
The proposal reopens a year‑old dispute: Malaysia briefly signalled a Huawei‑backed sovereign AI scheme in 2025, then publicly distanced itself amid US export‑control concerns.
And it has since tightened rules on chip transshipment while courting a mix of Chinese and US‑linked AI investment.
It remains unclear how many chips Malaysia would buy, the Bloomberg sources said, and the balance between sovereignty, supply security and international pressure will shape any final decision.