Malaysia intends to build the largest integrated circuit (IC) design park in Southeast Asia and plans to entice global tech companies and investors through incentives such as tax breaks, subsidies, and visa exemption fees, as announced by the government on Monday (22 April) at the KL20 Summit event.
Reuters reports that the aim is to transform Kuala Lumpur into a regional digital hub, with aspirations of ranking among the top 20 countries in the global startup ecosystem index by 2030, according to Prime Minister Datuk Seri Anwar Ibrahim.
Anwar emphasised that the proposed integrated circuit design park signifies Malaysia’s shift towards more lucrative front-end design work from backend chip assembly and testing, highlighting the country’s significant role in the semiconductor industry, which currently contributes about 13% to global testing and packaging.
The park, supported by the Selangor state, is expected to accommodate leading anchor tenants and collaborate with global entities such as British chipmaker Arm Holdings which Anwar mentioned by name, although specifics were not disclosed.
The IC design park, as reported by Malay Mail, will initially occupy a 45,000 sq ft building in Puchong, Selangor, and is planned to expand to 60,000 sq ft to meet industry demands.
