Malaysia

Intel boosts Malaysian semiconductor presence with RM860 million injection

Prime Minister hails renewed investment as endorsement of Malaysia’s high-tech ambitions and talent development initiatives

Updated 11 months ago · Published on 02 Dec 2025 9:47AM

Intel boosts Malaysian semiconductor presence with RM860 million injection
Announcement builds on Intel’s previous commitments, including a US$7 billion advanced chip packaging plant and a pledge to invest RM30 billion over the next decade - December 2, 2025

INTEL Corporation, the world’s leading semiconductor manufacturer, has confirmed an additional investment of RM860 million ringgit (US$208 million) to strengthen its assembly and testing operations in Malaysia, reinforcing the country’s position as a critical hub in the global semiconductor supply chain.

Prime Minister Datuk Seri Anwar Ibrahim, in a Facebook post on Monday, welcomed the development as a demonstration of international confidence in Malaysia’s industrial strategy.

“Intel also expressed its appreciation for the continued support of the Malaysian government, particularly for the development of the Advanced Packaging Plant in Penang, which involves a capital expenditure of RM12 billion and is now 99% complete,” Anwar stated on social media following a meeting with Intel CEO Lip-Bu Tan yesterday.

The announcement builds on Intel’s previous commitments, including a US$7 billion advanced chip packaging plant revealed in 2021, and a 2023 pledge to invest RM30 billion over the next decade to expand operations in Penang and Kulim, Kedah.

Anwar emphasised that the latest investment also supports collaboration with Malaysian educational and training institutions, with RM2.8 million allocated over two years to fund elective courses and research and development initiatives.

“All these investments reflect the confidence of a global company in Malaysia as a key partner in driving innovation, strengthening the local talent ecosystem, and maintaining the country’s competitiveness on the world stage,” the Prime Minister added.

Intel has been a cornerstone of Malaysia’s electrical and electronics sector since commencing operations in Penang in 1972.

The company’s renewed expansion underscores both the strategic significance of Malaysia in global semiconductor production and the government’s long-term commitment to high-technology development under the New Industrial Master Plan 2030. - December 2, 2025

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