Malaysia Launches Semiconductor IC Design Park 2 in Cyberjaya, Strengthening National Chip Ecosystem

CYBERJAYA (Nov 6, 2025) — Malaysia has officially launched the Malaysia Semiconductor IC Design Park 2 (IC Park 2) in Cyberjaya, alongside the opening of the Advanced Chip Testing Centre at CoPlace 9, the first world-class chip testing facility in Southeast Asia.

The initiative marks a major step in Malaysia’s long-term strategy to transition from contract chip manufacturing to indigenous chip design, testing, and intellectual property ownership — strengthening the nation’s position within the global semiconductor supply chain.

The launch was officiated by Prime Minister Datuk Seri Anwar Ibrahim, witnessed by Selangor Menteri Besar Datuk Seri Amirudin Shari, and led by the Selangor Information Technology and Digital Economy Corporation (Sidec).

Strengthening Malaysia’s Semiconductor Capabilities

According to Sidec, IC Park 2 will serve as a comprehensive semiconductor hub, hosting four advanced divisions:

• Advanced Chip Inspection, Test & Metrology Centre

• Advanced Chip Design, Emulation & Prototype Centre

• Advanced Chip Validation & Robotics Centre

• Advanced Chip Research & Training Centre

These facilities will support chip design innovation, testing automation, and AI-driven validation, backed by partnerships with global and local tech leaders including Arm, Synopsys, AWS, Keysight, Ansys, Cadence, Sicada, QES, Tekmark, DF Automation, IIT Madras, and Shenzhen Xinhou Research Centre.

Together, these partners will establish a shared research and development lab ecosystem, accelerating Malaysia’s progress toward semiconductor independence.

Cyberjaya: The Heart of Malaysia’s Tech Corridor

Cyberjaya’s selection as the site for IC Park 2 is no coincidence. The city is home to a dense cluster of technology companies, data centres, and research facilities, making it a prime location for the semiconductor cluster’s continued growth.

The area will also host the Advanced Semiconductor Malaysia Academy (ASEM), which aims to train 20,000 semiconductor engineers over the next decade. Seven training cohorts have already graduated under ASEM, signalling early success in building Malaysia’s talent pipeline.

The Selangor government further bolstered the initiative by launching the Selangor Semiconductor Fund, targeting RM100 million in capital investment to nurture at least seven local tech startups beginning November 2025.

Policy Reforms and Industrial Growth Alignment

In line with Malaysia’s National Semiconductor Strategy, New Industrial Master Plan 2030 (NIMP 2030), and National Energy Transition Roadmap, the Selangor government also unveiled a Local Economy Development Policy mandating 30% local content in all new data centre investments.

This policy complements Selangor’s broader vision to promote industrial land development, smart manufacturing, and sustainable technology hubs — especially in growth corridors like Subang, Puchong, and Bukit Jalil, where demand for industrial properties and office spaces continues to rise alongside digital transformation.

“Malaysia is still in the early phase of its industrial transformation,” said Prime Minister Anwar Ibrahim. “Our policies are clear, but execution and accountability must improve. We must break from complacency and focus on efficient delivery across ministries and agencies.”

Looking Ahead: From IC Park 2 to IC Park 3

Anwar hinted that IC Design Park 3 may soon follow, building on the momentum of the first two phases as Malaysia positions itself as Southeast Asia’s semiconductor hub.

He also stressed the importance of local talent development, urging continuous reskilling and upskilling to reduce reliance on foreign expertise.

“We can collaborate globally, but our strength must come from within,” he said. “Malaysia must build a sustainable, future-ready talent base to drive our semiconductor and digital economy.”

A Catalyst for Property and Industrial Growth

The establishment of IC Park 2 in Cyberjaya is expected to spur industrial property demand in Selangor and surrounding areas, particularly for factories in Puchong, industrial properties in the Subang area, and technology-driven commercial spaces in KL.

Industry analysts expect ripple effects across the office market in Bukit Jalil and data-centric business parks in Selangor, as multinational and local semiconductor players seek proximity to Malaysia’s expanding digital infrastructure.

With IC Park 2 now operational, Malaysia is positioning itself not only as a semiconductor production hub but also as a centre of innovation and design, driving the next phase of industrial and economic transformation in the region.