New semiconductor test design centre in Penang; Malaysia, China initiate digital cooperation plan

Malaysia has emerged as a highly attractive nearshoring destination for Integrated Circuit (IC) design companies.

Digital Minister Gobind Singh Deo said this was due to several factors, namely the nation’s robust semiconductor ecosystem, proactive government policies, and Malaysia’s geographical location.

As investments into the semiconductor industry in Malaysia continue to pour in, Gobind said more will be done to enhance the nation’s capabilities and infrastructure.

“Malaysia’s 7 per cent share in the global semiconductor market is a reflection of our established expertise and strategic initiatives,” said Gobind.

“The government remains committed to supporting and nurturing this sector to ensure sustained growth and global competitiveness.”

Gobind said this at the launch of Cohu’s semiconductor test design centre in Bayan Lepas, Penang, this morning. LTX-Credence Sdn Bhd is a subsidiary of Cohu – a global leader and technology leader in the semiconductor and printed circuit board markets.

“This centre is dedicated to developing next-generation precision digital instruments, leveraging on custom IC designs. This will enable the delivery of high-performance and high-quality semiconductors, propelling our technological capabilities to new heights.

“The investment of over RM71 million is a testament to LTX-Credence’s commitment to Malaysia’s growth This venture is projected to generate an impressive RM1.6 billion in indirect economic value over the next five years.”

Gobind added that the centre’s recruitment drive will attract up to 60 highly skilled research engineers.

Here’s this week’s Digital Ministry roundup.

Gobind met China’s Industry and Information Technology Minister Jin Zhuanglong on June 18 at MOF Inc Tower in Kuala Lumpur. Jin was part of China Premier Li Qiang’s entourage. Li was in Malaysia for a three-day official visit that ended yesterday.

During the meeting, the ministers agreed to initiate an annual plan for digital cooperation (2024-2025) between their respective ministries to strengthen the ties of both nations.

Gobind and Jin at MOF Inc Tower on June 18.

On June 19, Gobind joined Prime Minister Datuk Seri Anwar Ibrahim and other ministers in celebrating the 50th anniversary of Malaysia-China diplomatic ties. Diplomatic relations between both nations began with the signing of the joint communiqué between Malaysia’s second prime minister Tun Abdul Razak Hussein, and then Chinese Premier, Chou En Lai, on May 31, 1974.

On June 20, Gobind launched the Asean Regional Cybersecurity Workshop in Kuala Lumpur. In his speech, the minister highlighted several strategic cybersecurity initiatives, namely the Malaysia Cyber Security Strategy 2020-2024 and the Cybersecurity Empowerment Programme.

He added that Malaysia and nations in the region, and around the world, must recognise and act together to circumvent the pervasive threats that abuse and misuse artificial intelligence (AI).

Gobind reiterated that public-private partnerships will further strengthen efforts, bringing together the combined expertise of governments, technological companies, and civil societies.

He also said that the synergy between AI and cybersecurity will shape Malaysia and the Association of Southeast Asian Nations’ (Asean) digital future.

“By embracing AI’s transformative power and ensuring robust cybersecurity measures, we can pave the way for a safer, smarter, and more prosperous Malaysia and Asean,” he added.

Meanwhile, Shakib Ahmad Shakir has been appointed as the ministry’s deputy secretary general (strategic and management), effective June 19.

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