KUALA LUMPUR: The creation of SemiconStart represents a positive and timely initiative to develop Malaysian champions in the electrical and electronics sector according to the Malaysia Semiconductor Industry Association.
MSIA confirmed this aligns with the national semiconductor strategy goal of creating 110 Malaysian champions.
Programme effectiveness will depend heavily on the global incubator partner’s scope and reach particularly regarding access to foundry process design kits and multi-product wafers for advanced node designs.
These resources typically remain inaccessible to startups making incubator access a major equaliser according to the association.
Clarity is needed on whether the incubator will also provide packaging solutions to enable full prototype development after wafer fabrication.
Prime Minister Datuk Seri Anwar Ibrahim announced the incubator programme last Friday through the Malaysian Technology Development Corporation in collaboration with global incubators.
The programme specifically addresses entry barriers semiconductor startups face due to high prototyping costs.
MSIA also highlighted the RM7.9 billion allocation for technical and vocational education and training including RM650 million focused on artificial intelligence electric vehicle and semiconductor training.
This reflects government recognition of talent challenges facing Malaysia’s high-tech industries.
Meanwhile the introduction of the RM200 million Strategic Co-Investment Fund and RM180 million NIMP Industrial Development Fund represents an encouraging step towards building a more resilient supply chain.
These funds particularly support small and medium enterprises and mid-tier companies within the semiconductor ecosystem.
Additional initiatives like the RM2 billion MADANI Submarine Cable project logistics upgrades and ASEAN Business Entity status will strengthen Malaysia’s industrial infrastructure.
Policy consistency reliable energy supply and timely project delivery remain essential for maintaining investor confidence according to MSIA.
The RM200 million Innovation Commercialisation Fund enhanced venture capital tax incentives and Made by Malaysia certification programme are timely measures to drive innovation.
These instruments must now be implemented effectively to support commercialisation of local semiconductor intellectual property and advanced packaging.
Malaysia must move beyond assembly and testing into design research and development and advanced manufacturing leadership in the next phase.
Budget 2026 totalling RM470 billion was tabled last Friday with RM419.2 billion allocated for government expenditure.
This first budget under the 13th Malaysia Plan carries the theme Fourth MADANI Budget: The People’s Budget. – Bernama
