Salutations:

1. Yang Berhormat Tuan Syed Ibrahim Syed Noh Chairman of MDEC

2. Yang Berusaha Encik Anuar Fariz Fadzil Chief Executive Officer of MDEC

3. Yang Berbahagia Datuk Fadzli Abdul Wahit Head / Senior Vice President, Digital Transformation, MDEC

4. Mr. Justin Berenbaum Vice President Strategy and General Manager, XSolla Funding Club

Esteemed guests,

Members of the Media,

Ladies and gentlemen.

Salam Perpaduan, Salam Malaysia MADANI, and a very good morning to everyone.

1. It is exciting to be here at the Malaysia Digital Content Festival 2024. This event is a great platform to experience the latest in digital creative content in Malaysia and beyond.

2. It is also great to see many familiar faces here. Selamat datang to Dominique Bourse of Cybergroup, Agnes Augustin of Shaw Rocket Fund and Justine Bannister of Just B. I still remember our 3 discussions during my working trip to Annecy, France, in June and hope we can follow through on those conversations today.

3. The digital creative industry is more than just another sector. It plays a crucial role in driving innovation, and fostering economic growth in Malaysia. Since 2001, Malaysia has consistently advocated for and strongly supported this industry. That support continues through initiatives such as the Digital Creative Blueprint, or better known as DICE.

4. DICE embodies the Government’s unwavering commitment to nurture the digital creative sector, which aims to establish Malaysia as a Regional Digital Creative Producer Hub by 2030. This is not just an ambitious goal but one that is documented under the 12th Malaysia Plan (RMK12), and will continue to be reinforced under the 13th Malaysia Plan (RMK13). Such a commitment ensures sustained development and innovation in this fast growing and exciting industry.

5. Over the years, we have established a solid foundation in the digital creative sector. Currently, Malaysia is home to over 300 digital content studios and we have created more than 180 original intellectual properties (IPs) in animation and gaming. In 2022, this industry generated RM6.3 billion in revenue, with exports totalling RM850 million, supporting over 11,000 jobs.

6. Additionally in 2023, the industry attracted RM1.6 billion in investments from top-tier studios such as Xsolla and ESL Gaming. This underscores the sector's immense potential to generate high value jobs and make a significant contribution to our economy.

7. Malaysia has also made a significant breakthrough in the animation sector, with Kucingko Berhad becoming the first local animation production company to be listed on the Malaysian stock exchange.

8. In addition to this, starting today, the Malaysia Digital Economy Corporation (MDEC) in collaboration with Golden Screen Cinemas (GSC) will showcase a collection of award-winning local short animations and films on the big screens.

Ladies and gentlemen,

9. Since 2019, the Digital Content Festival has provided a platform to showcase the best of Malaysian digital content to both domestic and international audiences. From the gaming world of LEVEL UP KL, to the creative content showcase at Kre8tif!, to the immersive experiences offered by IMMERSE KL, the festival brings together professionals, enthusiasts, and industry leaders from across the globe. It is a testament to Malaysia’s position as a hub for innovation and creativity.

10. The demand for digital creative products and services is growing, both locally and internationally. The global creative technology 5 market size is projected to reach USD 687.4 billion by 2027 with a CAGR of 9.97% between 2020 and 2027. Sub-sectors within the creative technology industry are also thriving. For example, the global animation market size increased by 5% in 2022 to over USD 587 billion in 2030.

11. Riding on the tailwinds of the global digitalisation phenomenon, the global game market also boomed significantly. According to Newzoo Global Games Market Report, global games revenue was valued at USD187.7 billion in 2024 and is expected to grow to USD213.3 billion in 2027.

12. Acknowledging the importance of immersive technologies like Metaverse, MDEC launched the IP360 Metaverse initiative at last year’s edition of the Festival. Its goal is to elevate Malaysia’s standing in content creation and creative tech by offering development and investment opportunities for local creators and studios.

13. I have been informed that MDEC is working with several parties including Akademi Seni Budaya Dan Warisan Kebangsaan (ASWARA) on a very interesting project. The academy has digitised nearly 50 traditional dance movements, but currently lacks a platform to showcase them. By leveraging the IP360 Metaverse Platform, we aim to create a collaborative effort to bring these cultural assets to a wider audience.

14. I was earlier briefed that the IP360 Metaverse Platform will be open to the public by the end of the year. This will allow users to experience the platform first-hand. The move will also lay the groundwork for the platform’s long-term commercialisation potential. I urge industry players to explore the potential of IP360 Metaverse Platform. Your experience and feedback are important as we continue to learn about such emerging technology, and unearth ways to utilise it across all sectors.

15. The IP360 Metaverse Platform is merely the beginning. Reports by Meta and Deloitte estimate that the Metaverse will contribute approximately USD 3.01 trillion to the global GDP in 2031. Of this, the impact of the metaverse on the Asia Pacific region could be between US$ 800 billion and US$1.4 trillion per year by 2035. That’s only 11 years away. Thus, we need to quickly capitalise on such technology.

16. According to the World Government Summit in its 2023 report titled “Governing the Metaverse”, infrastructure, industry standards, laws and regulations around user and data protection, and policies and incentives, are among the four priorities for the development of the Metaverse. Some nations, such as the United Arab Emirates and China, have in place national strategies to facilitate metaverse development.

17. Just like any other technology, reliability, cybersecurity, and personal data protection are key components in metaverse solutions. I am proud to highlight that the MADANI Government has already taken steps.

Ladies and gentlemen,

18. As Malaysia assumes the ASEAN chairmanship next year, we will be working closely with our neighbours and exploring the next phase of digital growth. Through collaborations, policy leadership, and infrastructure development, Malaysia can strengthen the digital content ecosystem, foster innovation, and position itself as the regional leader in digital content creation and distribution. This will not only boost the local economy but also create a dynamic and interconnected digital content network across Southeast Asia.

19. Together, we can drive innovation, foster creativity, and build a digital economy that not only benefits Malaysians, but contributes to global digital transformation. I am confident that with continued collaborations between the public and private sectors, Malaysia’s digital creative industry will reach new heights.

20. With that, I am pleased to officiate the Digital Content Festival Biz Day 2024. Let us embark on this exciting journey together and continue building a brighter digital future for Malaysia.

Thank you.

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