MALAYSIA has made history as local startup Silicon X Sdn Bhd successfully developed the nation’s first Field Programmable Gate Array (FPGA) chip, a milestone that also marks a first for Southeast Asia.
The achievement was announced by Silicon X, which operates under the Penang Silicon Design @5km+ (PSD@5KM+) initiative aimed at fostering a local integrated circuit (IC) design ecosystem.
Penang Chief Minister Chow Kon Yeow said the successful production of a locally-made FPGA chip demonstrates Malaysia’s engineering capability on the international stage.
"FPGA is a high-performance and reprogrammable chip, widely used for real-time, low-latency applications in sectors such as artificial intelligence (AI), robotics, telecommunications, data centres, automotive, healthcare, and industrial automation.
“Silicon X's success is a symbol of the state's aspiration to produce a made-in-Malaysia chip that is entirely designed and developed domestically," he said at a press conference at Komtar in George Town on Wednesday.
Chow highlighted that the innovation reduces reliance on imported technology and addresses a critical gap in Malaysia’s semiconductor value chain.
He added that Penang takes pride in hosting innovators like Silicon X, whose achievements strengthen the state’s position in the global semiconductor supply chain.
"This proves the state’s ability to support high-tech innovation, in line with the National Semiconductor Strategy.
“The achievement also provides a crucial boost to efforts to strengthen Penang’s role in the global semiconductor supply chain, with the state contributing around 60 per cent of Malaysia’s electrical and electronics exports," he said.
The PSD@5KM+ initiative continues to consolidate Penang’s status as the country’s IC design hub, with two new local startups, Channel Microsystems and Tenasic Technology, joining the programme’s incubation at the Silicon Research & Incubation Space @GBS TechSpace.
This brings the total number of participating local companies to seven.
Chow said Channel Microsystems is developing low-cost CMOS-based Radio Frequency-to-Direct Current (RF-to-DC) energy harvesting technology, while Tenasic Technology specialises in high-density IC design including ASICs, SoCs, IP, and embedded software.
"In line with support provided to the first cohort, both companies also receive subsidies covering rental, utilities, Multi-Project Wafer (MPW) services, testing, and talent development.
“To date, over RM5 million has been disbursed to participants from the first cohort as part of efforts to strengthen the local IC design sector and nurture talent in Malaysia’s semiconductor industry," he said.
Chow added that Penang has the potential to produce world-class semiconductor products if given the right platform and support.
"PSD@5KM+ plays a crucial role in realising this vision. I hope more successes will emerge through this initiative, ensuring Penang remains the nation’s IC design hub," he said. - November 5, 2025
