Malaysia will invest US$250 million over the next decade in collaboration with Arm Holdings to develop an AI and semiconductor ecosystem. This partnership aims to enable local chip production and enhance technological expertise. With plans to create ten chip companies generating US$20 billion in annual revenue, Malaysia seeks to strengthen its position as a leading tech hub in ASEAN.
Malaysia is set to invest US$250 million over the next decade, establishing a strategic collaboration with Arm Holdings Plc. This alliance aims to develop an ecosystem for the artificial intelligence (AI) and semiconductor industry, with Prime Minister Datuk Seri Anwar Ibrahim expected to officially announce this initiative shortly.
The collaboration will mark the beginning of Malaysia’s journey towards establishing domestic chip production. It will facilitate access to Arm Holdings’ extensive intellectual property network, along with technology and expertise transfer, crucial for local industry players.
According to a report from Bloomberg, Malaysia plans to create as many as ten chip companies, with a target of achieving an annual revenue of US$20 billion from this sector. While Malaysia is already recognized as a major hub for chip testing and packaging, it has yet to penetrate the chip design market significantly.
Arm Holdings, known for its impressive portfolio, has issued 6,800 patents, and has over 300 billion of its chips sold globally. The Prime Minister’s senior press secretary, Tunku Nashrul Abaidah, emphasized that this collaboration would position Malaysia as a key player in the global technology field and transform its AI and semiconductor landscape.
Tunku Nashrul also noted that Malaysia will be the first nation in the region where Arm Holdings establishes an office. This step is intended to fortify the technological ecosystem within Malaysia and make the country a focal point in the ASEAN region.
This initiative, backed by the MADANI Government, will involve the coordination of various ministries including Investment, Trade and Industry, Finance, and Economy. The partnership will not only enhance access to advanced semiconductor technology but also contribute to the training of skilled workers locally.
The partnership signals global investor confidence in the policies of the MADANI Government and its dedication to fostering high-value collaborations within Malaysia.
In conclusion, Malaysia’s investment of US$250 million in partnership with Arm Holdings signifies a significant advancement in the country’s technology sector. This collaboration aims to enhance the local semiconductor industry through technology transfer and workforce training. The strategic focus on creating an ecosystem for chip production underscores Malaysia’s ambition to establish itself as a leader in the ASEAN technology landscape, reflecting a robust commitment from the government and attracting global investment.
Original Source: www.bernama.com
