PETALING JAYA: IBM has announced that it will be shutting down its Global Delivery Centre located in Cyberjaya, Selangor, on May 31.
The Edge, quoting an IBM spokesman, said the closure of the global centre supporting client information technology (IT) infrastructure in Malaysia would have no impact on other IBM operations in Malaysia, including its head office here.
“IBM remains committed to Malaysia and will continue to focus on building its capacity and capability to help our clients on their hybrid cloud and artificial intelligence journeys, and the nation in its pursuit to be a knowledge-based society as set out in the Digital Economy Blueprint,” the spokesman said.
However, the spokesman declined to comment on how many jobs would be lost as a result of the closure.
It is understood that some employees had started submitting their job applications to other IT companies in the country as this shutdown might put over 1,000 employees out of work.
IBM was one of the first technology companies to invest in Cyberjaya when the Multimedia Super Corridor (MSC) was launched by then prime minister Dr Mahathir Mohamad in the mid-1990s.
In 2011, former prime minister Najib Razak announced that the American multinational company would be investing RM1 billion to develop the Global Delivery Centre in Cyberjaya. Najib also said the centre was expected to generate 3,000 skilled jobs.
According to a report by TelcoTitans, IBM is not the first multinational to exit Cyberjaya. German IT company T-Systems sold its business in Malaysia to private investment holding firm Quintephi Sdn Bhd in November last year.-FMT