Cyberjaya: The Selangor state government, via the Selangor Information Technology and Digital Economy Corporation and Permodalan Negeri Selangor Bhd, has partnered with Artem Venture Fund to establish the Selangor Semiconductor Fund, also known as Ehsan Capital, to empower the industry. Selangor Menteri Besar Datuk Seri Amirudin Shari announced that Ehsan Capital aims to raise over RM100 million and will be operational this month, focusing on investments in at least seven high-potential local startups in semiconductor design and technology.
According to BERNAMA News Agency, the establishment of this fund is not limited to being just a financial instrument but represents the state government’s long-term commitment to nurturing local expertise in research, development, and technological design. Amirudin emphasized that Malaysia will evolve from merely using technology to becoming a regional innovator. The announcement was made at the launch of Malaysia Semiconductor Integrated Circuit (IC) Design Park 2, officiated by Prime Minister Datuk Seri Anwar Ibrahim.
Amirudin highlighted that semiconductors are a key focus area under the New Industrial Master Plan (NIMP 2030), positioning Malaysia among the world’s top 30 economies by 2030. He noted that with strong support from the MADANI Government through the ARM Design Token initiative, semiconductor companies have the potential to grow rapidly and be publicly listed within the next three to four years. This growth is expected to boost investor confidence and attract more venture capital interest in Malaysia’s semiconductor ecosystem.
Regarding the existing IC Design Park 1 in Puchong, Selangor, Amirudin mentioned that more global semiconductor giants are keen on setting up operations there. However, due to limited space, the state is moving into a new phase with the launch of the second IC Design Park at Coplace 9 Cyberjaya, aimed at further strengthening Selangor’s position as the country’s main semiconductor hub.
The new phase will include the advanced chip testing centre and advanced training facilities under the Advanced Semiconductor Academy of Malaysia. This advanced chip testing centre will be the only world-class facility in the region, equipped with state-of-the-art facilities and services, including advanced chip design emulation, chip prototype development, chip verification testing, and advanced device testing.
Additionally, Selangor is introducing a policy anchored on local economic development through the Local Economy Development Policy (LED), which prioritises the data centre industry. This policy mandates a 30 per cent local content target for every new data centre investment, ensuring that local companies, technology providers, and the Malaysian workforce directly benefit from the growth of the digital industry.