Are Asian universities different from those in Western countries? Premised on the hypothesis that Asian universities are different because of hybridization between Western academic models and local traditional cultures, this paper investigates the hybrid characteristics in Malaysian universities resulting from interaction between contemporary external influences and local traditional practices. At the system level, the interaction between external ideology of neoliberalism and local ethnic-based politics has resulted in ethnized neoliberalism in the higher education system. Hybrid characteristics at the institutional level have been operationalized into the domains of governance and management, programmes and curriculum, teaching and learning, and research and service. Based on three types of universities in Malaysia--mainstream, Islamic and Chinese community-based--we argue that Malaysian universities are hybrid universities because many of the policies and practices are distinctively different from the Western academic models. Indigenization of the Western models had taken place resulting in unique form of university governance and management, Islamization of curriculum and the Asian cultural ethos of the campus in Malaysian universities.