MBI Wants Malaysia, Indonesia To Emerge As Major Integrated Circuit Producers
From Harizah Hanim Mohamed
BANDUNG, July 10 (Bernama) -- Menteri Besar Selangor Incorporated (MBI) wants to see the semiconductor industry in Malaysia and Indonesia grow more rapidly, with both countries developing into major producers of integrated circuits (ICs), said group chief executive officer Datuk Saipolyazan M Yusop.
He said that global semiconductor companies are now actively expanding their presence in Selangor, thereby creating opportunities for collaboration with technology companies from Indonesia.
"For Indonesian technology companies, Selangor offers two strategic pathways. First, as a regional operational base to expand their businesses into the ASEAN market.
"Secondly, as a strategic partner in the digital and semiconductor sectors to support Indonesia's technology development aspirations," he said while presenting the investment potential of Selangor during the Selangor International Business Summit (SIBS)@ASEAN in Bandung, Indonesia, today.
His presentation session, themed "Selangor–Indonesia Sovereign Synergy: Scaling ASEAN's Economic Future", was held in conjunction with the inaugural SIBS@ASEAN 2026 Bandung, organised by Invest Selangor Bhd.
Saipolyazan said Selangor has developed a comprehensive digital ecosystem encompassing connectivity, semiconductor design, talent development, innovation acceleration and industry collaboration.
"This includes state-supported fibre optic infrastructure, smart city solutions, shared telecommunications tower infrastructure, public connectivity initiatives, and the Cyberjaya technology ecosystem.
"Not only that, Selangor also houses IC design hubs in Puchong and Cyberjaya, supported by technical training programmes and talent development closely aligned with the industry," he said.
Commenting on two major projects in Selangor, he said the Puchong Hub (Phase 1), which spans 60,000 square feet, is now operating at full capacity.
"It houses more than 200 engineers from 14 semiconductor companies, with major tenants including SkyeChip, MaiStorage, and Weeroc.
"The Puchong Hub is expected to generate indirect economic returns worth between RM500 million and RM1 billion," he said.
Regarding the Cyberjaya Hub (Phase 2), Saipolyazan said that the facility houses the Advanced Malaysian Semiconductor Academy, which aims to produce 20,000 semiconductor engineers over the next 10 years.
"The important thing is that we have now become part of the global semiconductor value chain and, at the same time, cooperation between Selangor and Indonesia remains wide open for further exploration," he said.
He said the meeting between representatives from Selangor and Indonesia was not merely aimed at discussing trade or promoting investment, but rather at identifying ways to build a stronger regional value chain, create new investment opportunities, and shape the next phase of ASEAN growth.
"The theme of my presentation today also aligns with current trends because it reflects the fact that the future of ASEAN will not be built solely by the market.
"On the contrary, it will be shaped through collaboration that connects capital, infrastructure, talent, technology, and implementation capabilities," he said.
He emphasised that MBI Selangor serves as the strategic investment arm of the Selangor State Government and that its role is to connect opportunities with reputable strategic partners and translate strategic aspirations into tangible projects.
"I hope this session will open up opportunities for more practical discussions on how Selangor and Indonesia can build a future together and strengthen ASEAN's economic growth," he added.
-- BERNAMA