Netskope Deepens Southeast Asia Footprint With Malaysia Hub

(MENAFN- The Arabian Post)

Netskope has unveiled a new data centre in Malaysia, sharpening its expansion across Southeast Asia as governments and enterprises tighten rules on data residency and demand greater control over cloud security. The move places the US-based cybersecurity firm closer to customers in regulated industries that are accelerating cloud adoption while seeking assurances on where sensitive information is processed and stored.

The Malaysia facility, located to serve customers across the country and neighbouring markets, extends Netskope's NewEdge network, the company's global security infrastructure that underpins its secure access service edge offerings. By processing traffic locally, the firm says it can reduce latency, improve performance for cloud applications, and help organisations meet domestic compliance obligations without fragmenting their security architecture.

This expansion reflects a broader shift in Southeast Asia, where data protection regimes have become more explicit and enforcement has intensified. Malaysia's Personal Data Protection Act, alongside sector-specific requirements for finance, healthcare and telecommunications, has pushed multinational firms to re-evaluate cross-border data flows. Similar pressures are evident in Singapore, Indonesia and Thailand, creating demand for security platforms that combine global reach with local presence.

Netskope's regional strategy has focused on building infrastructure rather than relying solely on partner facilities. The Malaysia data centre complements existing points of presence across Asia Pacific and is designed to support services such as cloud access security brokerage, secure web gateways and zero trust network access. Company executives have said that proximity is increasingly critical as enterprises migrate mission-critical workloads to software-as-a-service platforms and public clouds.

Industry analysts note that the competitive landscape in cloud security has intensified as vendors race to offer compliant, low-latency services. Global rivals including Zscaler, Palo Alto Networks and Cisco have all invested in regional infrastructure to address sovereignty concerns. What differentiates players, analysts argue, is the ability to deliver consistent policy enforcement across geographies while adapting to local legal frameworks.

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Malaysia has emerged as an attractive hub for such investments due to its growing digital economy, improving connectivity and government incentives aimed at data centre development. The country has positioned itself as a neutral base for regional operations, with policymakers encouraging foreign technology firms to establish infrastructure that supports domestic innovation and cross-border trade.

For enterprises, the presence of a local Netskope facility may ease long-standing concerns about routing traffic through distant jurisdictions. Financial institutions, in particular, have faced scrutiny over outsourcing arrangements and third-party risk management. Local processing can simplify audits and reporting while maintaining alignment with global security standards.

The expansion also speaks to changing threat dynamics. Cyber risk in Southeast Asia has risen alongside digitalisation, with ransomware, phishing and cloud misconfigurations posing persistent challenges. Security teams are under pressure to gain visibility across hybrid environments that span on-premise systems, multiple cloud providers and a distributed workforce. Vendors that can aggregate telemetry and enforce zero-trust principles close to the user are gaining traction.

Netskope has invested heavily in research and development to support this approach, including machine learning models that analyse cloud usage patterns and detect anomalous behaviour. The Malaysia data centre will feed into these capabilities, enabling faster inspection and response times for regional customers.

Beyond compliance and security, performance considerations are becoming a board-level issue. Latency can directly affect user productivity and customer experience, particularly for real-time collaboration tools and data-intensive applications. By shortening network paths, local infrastructure can deliver measurable gains, strengthening the business case for in-country deployments.

The move is expected to bolster Netskope's channel ecosystem in Southeast Asia, where managed security service providers and systems integrators play a central role in enterprise adoption. Local infrastructure allows partners to offer services tailored to national requirements while leveraging a globally recognised platform.

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