• The GPU
  • Posts
  • Issue #7: The Shenzhen of ASEAN, $100B of DC Investments, & CES

Issue #7: The Shenzhen of ASEAN, $100B of DC Investments, & CES

Feat. Johor, Blackstone, DDN, Applied Digital, Nvidia, AMD, Trump x DAMAC, Microsoft, and CrewAI

Author

Ben Baldieri
January 11, 2025 • Estimated Reading Time: 10 minutes

“There are decades where nothing happens; and there are weeks where decades happen.”

Communistic implications of starting a newsletter with serval investment-related stories with a Lenin quote aside, week one proper of 2025 feels like one of those weeks.

Johor is transforming into the Shenzhen of Southeast Asia, Nvidia redefined what a keynote means at CES (again), and Trump announced a $20B data centre initiative with a UAE partner. Meanwhile, Microsoft is committing $80B to hyperscale AI data centres, Blackstone is betting $300M on DDN, Applied Digital is bringing Honeywell expertise into its NeoCloud strategy, and CrewAI is partnering with Nvidia to accelerate AI agent deployment.

Every week, I break down the moves shaping GPU compute, AI infrastructure, and the data centres that power it all.

Here’s what’s inside this week:

  • Johor’s plan to become Southeast Asia’s Shenzhen.

  • Blackstone’s $300M investment in DDN’s AI storage infrastructure.

  • Applied Digital hires a Honeywell exec to bridge NeoCloud and enterprise.

  • CrewAI and Nvidia’s partnership to scale domain-specific AI agents.

  • Nvidia dominates CES with RTX 50-series GPUs, Cosmos, and Project DIGITS.

  • AMD’s new AI-enabled Dell PCs quietly advance AI at the edge.

  • Trump announces a $20B investment in U.S. data centres with DAMAC.

  • Microsoft plans to spend $80B on AI-enabled data centres in fiscal 2025.

Let’s dive in.

The GPU Audio Companion Issue #7

Want the GPU breakdown without the reading? The Audio Companion does it for you—but only if you’re subscribed. Fix that here.

Johor’s Ambitions to Become Southeast Asia’s Shenzhen

Malaysia and Singapore have announced a deal to transform Johor into a special economic zone modelled after Shenzhen.

Already a major data centre hub, Johor’s elevation could signal ambitions to become far more than just the go-to AI and digital infrastructure hub in Southeast Asia. With its proximity to Singapore, Johor is ideally placed to attract significant foreign investment.

The similarities between Johor and Shenzhen in terms of their proximity to major economic and financial hubs (Singapore and Hong Kong, respectively) are significant. The Shenzhen SEZ was the first SEZ in Mainland China, and arguably the catalyst for the PRC’s crazy development speed. We may yet see a similar development path in Malaysia.

Why this matters:

  • Positioned next to Singapore, Johor’s new status could shift the balance of compute infrastructure across Southeast Asia.

  • Hyperscalers, AI-driven enterprises, and data centre operators will likely flock to Johor to take advantage of the region’s new status.

  • If the Shenzhen model achieves even a fraction of the success of its namesake, this move could transform the economic fortunes of Malaysia and Singapore into a tightly integrated multi-industry powerhouse.

On a totally personal, non-industry-related note, this development excites me like nothing else. I lived in Shenzhen for a year and have spent a solid amount of time in Kuala Lumpur. If the governments of both countries can pull this off, this will transform ASEAN as a whole.

Blackstone Bets $300M on DDN

Blackstone has invested $300M in DDN (DataDirect Networks), valuing the AI data storage company at $5B.

DDN is one of the major AI storage players. They support AI training and analytics for some of the largest global institutions, including 11 of the top 15 banks and over 600 universities. As AI workloads scale, DDN’s ability to manage petabyte-scale datasets with low latency positions it as a critical player in the AI storage market.

Why this matters:

  • Blackstone’s backing could signal a shift in DDN’s GTM strategy.

  • The private equity giant often prioritises revenue growth and aggressive market penetration.

  • Given DDN’s existing customer base and Blackstone’s typical playbook, we could see further expansion across banking and academia, and a push into enterprise AI markets.

Applied Digital Taps Honeywell Expertise

Applied Digital has appointed Laura Laltrello, a former Honeywell VP, as its COO.

Laltrello’s experience scaling enterprise-grade solutions for customers like aerospace and manufacturing giants positions Applied Digital to bridge the gap between legacy industries and cutting-edge NeoCloud solutions. This move signals Applied Digital’s ambition to tap into AI-driven workloads from enterprises transitioning to compute-heavy infrastructures.

Why this matters:

  • Honeywell’s expertise in serving industrial clients could help Applied Digital unlock enterprise markets ripe for AI adoption.

  • By leveraging Honeywell’s playbook, Applied Digital could secure a foothold in traditional sectors like manufacturing and energy.

  • With Laltrello’s leadership, Applied Digital is well-positioned to expand its infrastructure offerings for compute-intensive workloads in those industries.

CrewAI and Nvidia Join Forces to Scale AI Agents

Nvidia are partnering with CrewAI and other major AI agent players.

CrewAI is a multi-agent orchestration platform. They enable the building and deployment of domain-specific AI agents for workflow automation across multiple business functions. This partnership enables faster deployment and scalability of AI agents, reducing barriers for enterprises looking to integrate AI into their operations.

Why this matters:

  • Agentic AI has potential applications in every business function across every vertical.

  • CrewAI’s direct integration with Nvidia’s NIM platform, therefore, streamlines multi-agent deployment for Nvidia AI Enterprise customers.

  • Fewer technical hurdles and direct integration into the Nvidia ecosystem will help drive enterprise adoption of agentic AI at scale.

Nvidia Dominates CES While AMD Plays Quietly

Nvidia owned the CES stage (again), unveiling the RTX 50-series GPUs, Cosmos, and Project DIGITS.

The RTX 50-series GPUs bring data centre performance to gaming, using AI to infer 90% of in-game pixels. Cosmos, Nvidia’s physical AI platform, advances robotics and AVs, while Project DIGITS brings Grace Blackwell AI supercomputing to desktops.

Meanwhile, AMD announced its first Dell PCs powered by Ryzen™ AI, focused on enterprise users. This announcement may not have garnered the same attention as Nvidia’s, but it’s huge in and of itself. Much of AI-related activity now happens in the data centre. When it moves to the edge, moves like this will be what counts.

Why this matters:

  • With Cosmos and RTX 50-series GPUs, Nvidia is driving innovation in both consumer and industrial AI applications.

  • Project DIGITS brings data centre capability to the desktop, enabling developers to run AI workloads and LLMs with large parameter sets locally.

  • Ryzen AI’s integration into Dell PCs brings AI directly into enterprise workflows, hinting at where AI may end up for enterprise users.

Read the full stories below:

Trump Partners with DAMAC for $20B U.S. Investment

DAMAC brings international expertise, and liquidity, to the initiative. The investment is aimed at reducing reliance on foreign technology while bolstering U.S. infrastructure to meet growing AI demands.

Why this matters:

  • DAMAC’s involvement shows hyperscale data centre development requires global cooperation, even for domestic projects.

  • This move aligns with U.S. objectives to process critical AI workloads on domestic soil, and potentially hints at further US-UAE cooperation in AI.

  • The partnership could result in faster deployment timelines, creating thousands of jobs in construction and operations while meeting AI infrastructure needs.

Microsoft Commits $80B to AI Data Centres

Microsoft announced plans to invest $80B in AI-enabled data centres during fiscal 2025.

This commitment reflects the hyperscaler’s drive to stay ahead of AWS and Google Cloud in the race to dominate AI workloads. With this scale of investment, Microsoft is building out the infrastructure backbone for next-gen applications, from generative AI to enterprise automation.

Why this matters:

  • While enterprise adoption isn’t yet happening at scale, this level of commitment gives a pretty good indication of how big Microsoft anticipates the wave will likely be.

  • Microsoft are clearly positioning themselves as the backbone of the AI era.

  • If extra compute is really all that’s needed to crack AGI, we could reasonably expect to see similar moves from AWS, GCP, and Meta in the near future.

The Rundown

If this week sets the tone for the remaining fifty one of this year, 2025 may well be a year where a century happens.

Johor is vying to become the Shenzhen of Southeast Asia, Nvidia stole CES with Cosmos and DIGITS, and Trump’s $20B data centre plan marks a significant domestic play. Microsoft’s $80B hyperscaler push and Blackstone’s $300M AI bet highlight the flood of capital into infrastructure, Applied Digital’s Honeywell hire signals growing enterprise adoption of NeoCloud solutions, while CrewAI’s Nvidia partnership simplifies AI agent adoption across industries.

Strap in. It’s only going to get faster.

Keep The GPU Sharp and Independent

Good analysis isn’t free. And bad analysis? That’s usually paid for.

I want The GPU to stay sharp, independent, and free from corporate fluff. That means digging deeper, asking harder questions, and breaking down the world of GPU compute without a filter.

If you’ve found value in The GPU, consider upgrading to a paid subscription or supporting it below:

☕ Buy Me A Coffee → https://buymeacoffee.com/bbaldieri

It helps keep this newsletter unfiltered and worth reading.

Reply

or to participate.