Penang: Silicon X Sdn Bhd, a homegrown integrated circuit (IC) design company, has achieved a major milestone in Malaysia’s semiconductor industry with the successful power-on of its proprietary Field Programmable Gate Array (FPGA) chip, marking a significant step forward in the nation’s high-tech ambitions. Its managing director, Ng Meng Wah, said the power-on marks the beginning of the chip’s ready-testing phase as the company moves towards mass production, targeted for the first half of 2026.
According to BERNAMA News Agency, Ng stated that this development is significant for the company, as the chip is currently undergoing testing and refinement before mass production. He also mentioned ongoing discussions with potential customers from Japan, China, and Malaysia, with announcements to follow once agreements are finalized. Ng highlighted that the typical life cycle of an FPGA chip is about eight years, and Silicon X plans to continue developing subsequent chip generations to sustain growth.
The first chip is expected to generate between RM200 million and RM300 million in revenue over the next eight years, with applications in automotive systems, LED billboard displays, and other sectors. Silicon X, one of the incubatees under the Penang Silicon Design @5KM+ (PSD@5KM+) initiative, is also the first FPGA product company in Malaysia and Southeast Asia.
Also present at the press conference was Penang Chief Minister Chow Kon Yeow and InvestPenang chief executive officer Datuk Loo Lee Lian. Chow stated that Silicon X’s achievement reinforces Penang’s reputation as a leading semiconductor hub, aligning with efforts to develop a ‘Made by Malaysia’ chip ecosystem to enhance the nation’s role in the global semiconductor value chain.
Established in 2024, Silicon X focuses on developing intelligent systems that support artificial intelligence, machine learning, and automation. Its FPGA technology aims to reduce reliance on imported solutions and strengthen Malaysia’s semiconductor ecosystem. Meanwhile, Chow announced that the PSD@5KM+ initiative is welcoming its second batch of incubatees, comprising two local IC design companies, into the Silicon Research and Incubation Space @GBS TechSpace.
He mentioned that the two new incubatees, Channel Microsystems and Tenasic Technology, would receive similar support as the inaugural batch, including access to subsidies to support operating expenses such as rental, utilities, multi-project wafer services, testing, and talent development. To date, over RM5 million has been awarded to the first batch of recipients, demonstrating strong early momentum and the government’s commitment to nurturing Malaysia’s IC design sector.
The addition of these two companies brings the total number of local IC design firms at PSD@5KM+ to seven, underscoring substantial progress toward the National Semiconductor Strategy target of establishing at least ten Malaysian companies specializing in IC design.