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Advanced packaging tech set for market in two years

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The government targets full commercialisation of MSE-backed advanced packaging technology after a two-year capacity-building phase, says minister.

KUALA LUMPUR: The government is targeting the advanced packaging technology developed through research and development (R&D) projects under the Malaysia Science Endowment (MSE) to be fully commercialised after a two-year capacity-building period, the Dewan Rakyat was told today.

Science, Technology and Innovation Minister Datuk Chang Lih Kang said the RM185 million pilot project involved a consortium comprising five local companies and government institutions, aimed at strengthening the country’s semiconductor supply chain.

He said the allocation was provided in the form of grants to raise the project’s Technology Readiness Level (TRL) from TRL 5 to TRL 9, enabling the technology to be ready for market entry.

“This two-year capacity-building period is aimed at training local companies to undertake advanced packaging activities. Once it reaches TRL 9, it means the technology is ready for the market.

“After that period, we will hand over full responsibility to the industry, which will have to secure its own customers and financing. This is to ensure the industry does not become overly dependent on government funding alone,” he said when replying to a question from Datuk Dr Ku Abd Rahman Ku Ismail (PN-Kubang Pasu) during the Minister’s Question Time.

Chang said the consortium approach enabled local companies to develop advanced packaging technology competitively while building long-term industry capacity.

He said MSE’s role at present was to accelerate the transition of the technology from the R&D stage to the commercialisation phase before the industry obtained financing from other sources.

He added that the implementation of the advanced packaging programme under MSE was a strategic government investment to develop local technological capabilities in the next-generation semiconductor industry, which supports applications in artificial intelligence (AI), data centres, high-performance computing, smart automotive, 5G and quantum technology.

Chang said the initiative was not only aimed at producing Malaysia’s first advanced packaging technology, but also serving as a catalyst for the transformation of the country’s semiconductor industry towards high-value-added activities through the development of local technology, innovation and intellectual property.

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