Systech, BDIB, and PKB Forge Strategic Pact to Drive Cross-Border AI and Digital Integration

BEIJING, CHINA / ACCESS Newswire / April 17, 2025 / Systech Bhd ("Systech"), a deep-rooted digital corporate solutions provider, has formalised a Strategic Cooperation Memorandum ("SCM") with the Beijing Daxing International Business Service Co., Ltd. ("BDIB") and Permodalan Kedah Berhad ("PKB"), a wholly-owned subsidiary of Perbadanan Menteri Besar Kedah (Kedah Chief Minister Incorporated), marking a landmark tripartite collaboration that sets the foundation for cross-border artificial intelligence ("AI") development, digital economy integration, and regional infrastructure growth.

This tripartite partnership marks a significant step in aligning efforts across public and private sectors in both countries to promote digital innovation, business connectivity, and investment in the digital economy.

BDIB is the operating entity of Beijing Innovation Hub for Digital Economy Enterprise Going Global ("the Hub"). The Hub is a government-led initiative backed by the Ministry of Industry and Information Technology and the Beijing Municipal Bureau of Economy and Information Technology. It serves as China's first platform dedicated to accelerating the global expansion of digital economy enterprises by setting up a full-chain industrial ecosystem in Daxing District, Beijing. The Hub provides end-to-end outbound support including policy consultation, legal and regulatory compliance, talent matchmaking, site selection, and brand localisation. It acts as a vital bridge between Chinese digital economy enterprises and international markets, promoting cross-border collaboration through joint forums, business exchanges, and representative offices.

Systech, with its core expertise in AI, Internet of Things (IoT), digital transformation, and cybersecurity, will serve as a local strategic partner by providing comprehensive localised landing services for Chinese enterprises seeking to expand globally. This includes supporting their digital transformation, business localisation, and international market entry, particularly in Malaysia.Systech will also be responsible for end-to-end project management and assisting in the setup and operationalisation of Chinese companies in Malaysia, positioning itselfas a key enabler of cross-border digital integration.

PKB, as the state investment vehicle, will facilitate land identification and development at high-potential sites including Kulim Hi-Tech Park and the upcoming Kedah Aerotropolis. These projects are expected to benefit from state-backed support in the form of investment incentives, subsidies, and infrastructure, providing a conducive environment for foreign digital economy players to anchor operations in Malaysia, for their international expansion.

Encik Mohd Azad Bin Jasmi, Chief Executive Officer of Permodalan Kedah Berhad, commented, "This Strategic Cooperation marks a vital step in PKB's ongoing efforts to attract high-impact investments into Kedah. The digital economy presents enormous potential for our state, and through this collaboration, we will position Kedah as a preferred destination for global AI and tech enterprises. We look forward to supporting this initiative through the provision of strategic land assets, regulatory facilitation, and long-term infrastructure development."

Mr. Chang Xuezhi, CEO of Beijing Daxing International Business Service Co., Ltd., stated, "We are excited to enter this strategic cooperation with Systech and PKB as we extend China's digital capabilities abroad. Malaysia offers a stable, forward-looking environment for technology collaboration, and this partnership will serve as a launchpad for Chinese enterprises to explore opportunities across Southeast Asia. The Hub is committed to supporting this effort through policy alignment, resource sharing, and comprehensive outbound service delivery. In the meanwhile, we look forward to welcoming more potential investments from Malaysia to the Hub through our collaboration with Systech and PKB."

Managing Director of Systech Bhd, Dato' Derrick Hooi added, said, "This partnership is not just about market expansion, it's about ecosystem building. By aligning Systech's digital and AI expertise with Beijing Innovation Hub's outward-facing momentum and PKB's strategic infrastructure capabilities, we are creating a powerful framework for sustainable digital transformation. This initiative will open new pathways for AI integration, smart infrastructure, and bilateral innovation between Malaysia and China. It reflects the broader vision of advancing corporate globalisation for both nations."

This strategic memorandum outlines cooperation on multiple fronts, including the establishment of overseas service centers and representative offices, the organisation of bilateral exchange programmes, and the provision of full-stack support services such as compliance consultation, talent matching, and branding for digital enterprises. These efforts are aimed at integrating Chinese digital economy players into Malaysia's ecosystem while nurturing domestic innovation and localised AI development.

The collaboration strongly complements Malaysia's broader digital strategy under the MyDIGITAL framework and the objectives of the National Artificial Intelligence Office ("NAIO"), which seeks to position Malaysia as a regional hub for responsible AI adoption and technological excellence. The agreement is effective for an initial term of one year, during which the parties will identify priority projects and move towards implementation through joint working teams.