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Malaysia speeds up chip design by tapping Arm's IP and local manufacturing expertise

Malaysia's economy minister announced that the country is using Arm Ltd's IP to accelerate semiconductor design, unveiling six locally developed chips with a combined sales outlook of RM300 million.

During the Selangor AI & Semiconductor Summit, Economy Minister Aklam Nasrullah Mohd Nasir outlined Malaysia's strategy to shorten semiconductor design cycles by leveraging Arm Ltd's intellectual property alongside its 50-year manufacturing base. The move has already produced six homegrown chips within two years, collectively valued at an estimated RM300 million in sales, and was celebrated at the Malaysia Semiconductor IC Design Park.

Nasir called for a unified national ecosystem where federal and state semiconductor hubs complement rather than duplicate each other, noting distinct advantages in regions such as Sarawak and Selangor. He also linked the initiative to broader workforce goals, aiming to lift the proportion of skilled workers from about 31 percent in 2025 to 35 percent under the Thirteenth Malaysia Plan. The announcement signals a shift from a "Made in Malaysia" to a "Made by Malaysia" approach in high-value tech sectors.

Why it matters

The initiative could boost Malaysia's high-tech manufacturing and create skilled jobs, strengthening its position in the global semiconductor market.

In this story

semiconductor designArm IPhomegrown chipsMalaysiaskilled workforceAI & Semiconductor SummitRM300 million
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