Advance Readiness of Local Manufacturing Industries for the Digital Age and the Green Economy

Integrated Circuit (IC) design is a pivotal process in electronics, enabling the creation of compact, efficient, and high-performance devices. By integrating millions of transistors onto a single chip, IC design reduces size, cost, and power consumption while enhancing reliability and functionality. This process is fundamental to advancements in technology, driving innovations in computing, telecommunications, healthcare, and more. Modern IC design focuses on energy efficiency and sustainability, making it crucial for the development of cutting-edge applications like artificial intelligence and IoT. As technology evolves, IC design remains at the heart of creating the future of electronics.

Penang, with its expertise in the manufacturing sector built over five decades, has become a natural magnet for back-end chip manufacturing. It is no surprise that the state is an ideal ecosystem for the Malaysia Semiconductor Accelerator and IC Design Park. The completion of Penang’s own Integrated Circuit (IC) Design and Digital Park will be another feather in the state’s cap, reinforcing its position as a leader in the semiconductor industry.

The first phase of this ambitious project includes high-spec office buildings equipped with cutting-edge engineering lab facilities and ample parking for up to 1,000 vehicles. This phase is currently underway, featuring the construction of two office buildings: GBS By The Sea and GBS Tech-Space, with a combined floor space of 350,000 sq ft and representing an investment of RM347 million. Phase two involves the establishment of an additional building, GBS@TechnoPlex, which is targeted to be ready by 2027.

Chief Minister Chow Kon Yeow has announced that the state is now developing an incentive package aimed at strategic investors interested in enhancing and complementing the new IC Design Park. This park will offer 1 million square feet of premium office space, intended to host high-impact projects such as a circular digital economy ecosystem, Global Business Services, R&D, digital technologies investments, and IC Design.

Through these initiatives, Penang reaffirms its commitment to providing exceptional infrastructure, attractive amenities, conducive facilities, and solidifying its leading position in the IC design and digital industries. The IC Design Park aims to advance Malaysia’s role from primarily focusing on the back-end processes of packaging and testing to being more involved in the front-end IC design segment.

1 ______. IC Design Park mark of state’s commitment. Bulletin Mutiara, June 16-30, p.1&3.
2 See Footnote 1.
3 See Footnote 1.