Kuala lumpur: Malaysia aims for locally manufactured chips developed in collaboration with Arm Ltd to enter the production stage and be used in the country's semiconductor supply chain by 2030, said Economy Minister Akmal Nasrullah Mohd Nasir. He stated that companies receiving technology access through the collaboration token require approximately three years to develop chip designs before producing their initial products, with four companies currently at the design and intellectual property (IP) evaluation stage.
According to BERNAMA News Agency, Akmal Nasrullah explained that the target considers the time needed for design development and production, as well as ensuring the chips produced can be marketed and accepted by customers identified by the companies. The design process takes about three years since the first token was obtained at the end of last year. The design is expected to be completed in 2028, with manufacturing anticipated to commence thereafter.
The Economy Minister highlighted that four companies have been listed to begin the design stage and evaluate IP. He expressed hope that the design would be completed by 2028, allowing time for production and ensuring marketability to the identified clients. These statements were made during a media briefing following the Economy Ministry's monthly assembly, where Akmal Nasrullah also presented offer letters to Arm Ltd.
Earlier, Akmal Nasrullah presented offer letters to two local companies, Oppstar Technology Sdn Bhd and Alphaswift Industries Sdn Bhd. These companies received access to Arm Compute Subsystem (CSS) technology and the Arm Flexible Access (AFA) programme to expedite the development of integrated circuit designs, research and development, and semiconductor technology in Malaysia.
Elaborating further, he noted that the four companies with tokens are in the early design stage, evaluating the IP access provided. Each company receives access to different technologies based on the specifications and specialisation of their respective chips. Two more companies received token offer letters, bringing the total number of tokens awarded to eight. Of these, four tokens were for CSS and the other four for AFA.
Akmal Nasrullah mentioned that the economic value of each token varies depending on technology provided, target market, supply chain, and potential customers identified by the companies. He emphasized the government's commitment to ensuring chip manufacturing activities take place in Malaysia and setting requirements for the recruitment of highly skilled local engineers.
The Minister encouraged further participation in the collaboration, particularly for AFA tokens, which allow companies to gain exposure to Arm technology without the immediate necessity to produce chips. The collaboration with Arm also includes training for 10,000 participants to develop talent in semiconductor and electronic technology fields.
The training programme provides early exposure to Arm systems, with some companies expected to absorb the talent into the industry. It aims to develop a highly skilled workforce, including engineers involved in chip design, research, and production. The Arm training program offers a 200-hour online course and integrated training with the Advanced Semiconductor Academy of Malaysia under the Selangor Information Technology and Digital Economy Corporation (SIDEC).
Akmal Nasrullah revealed that participants who completed the integrated programme secured starting salaries of approximately RM5,000 to RM5,100. With two to three years of experience, salaries can rise to RM8,000 or RM9,000, indicating a strong demand and ample opportunities in the sector.