Penang launches shared lab for IC design validation, onboards second batch of tech collaborators

• PSD@5KM+ expands ecosystem with co-working and talent development
• 2nd batch of tech collaborators onboarded to expand IC design capabilities

Penang has reached a significant milestone under the Penang Silicon Design @5KM+ (PSD@5KM+) initiative with the official opening of its Shared Lab for IC Design Validation & Characterisation, alongside the onboarding of its second batch of technology collaborators. The development strengthens Malaysia’s integrated circuit (IC) design ecosystem and provides Penang-based IC design companies with world-class infrastructure and expertise.

Driven by InvestPenang since PSD@5KM+’s launch in December 2024, the initiative takes an ecosystem-led approach, integrating infrastructure, talent development, funding facilitation, and strategic partnerships.

The Shared Lab is a purpose-built facility dedicated to post-silicon validation and characterisation, offering IC design companies access to advanced equipment, expert support, and a collaborative electrostatic discharge environment. It is open not only to incubatees in the Silicon Design & Incubation Space but also to IC design companies across Penang, reflecting InvestPenang’s commitment to shared infrastructure and ecosystem-wide enablement.

During the event, PSD@5KM+ welcomed its second batch of technology collaborators—Oppstar Technology, X-FAB Sarawak, Contacthings, and ElectroRent—formalised through Memoranda of Understandings. With these additions, PSD@5KM+ now counts 18 technology collaborators, enhancing capabilities across advanced design services, diverse foundry process nodes, and robust post-silicon validation infrastructure. Contacthings and ElectroRent, alongside Keysight and MIMOS, were also confirmed as key partners for the Shared Lab, contributing critical expertise and resources to uphold technical excellence.

The opening of the Shared Lab and the onboarding of new collaborators mark PSD@5KM+’s evolution into a comprehensive end-to-end IC design ecosystem, providing seamless pathways from design to validation and commercialisation. By bridging critical gaps in Malaysia’s semiconductor value chain, the initiative enables IC design startups to access shared high-value infrastructure, reduce time-to-market, and scale with confidence.

To further encourage collaboration, part of the Silicon Design & Incubation Space is being converted into hybrid co-working offices, offering flexible work environments for early-stage IC design companies and potential incubatees.

Chief minister of Penang, Chow Kon Yeow, said: “As we move forward, let us do so with ambition, collaboration, and conviction — to shape not only Penang’s future but also the future of global semiconductor design. Together, we can realise our vision of producing the first generation of ‘Made by Malaysia’ chips, designed, developed and driven from Penang.”

Since PSD@5KM+’s launch, Penang has created over 9,500 high-value jobs in the Semiconductor Design and Development sector and expanded its IC design companies from 25 to more than 50, positioning the state as the fastest-growing IC design hub in Malaysia. Through the Penang Chip Design Academy, over 400 talents have been trained in critical IC design skills—from the IC Mastery Programme for fresh graduates to upskilling initiatives for existing engineers, including Arm on Demand training. 

Notably, 96% of graduates from the IC Mastery Programme are now employed in the IC design industry. Penang-based engineers have also developed Malaysia’s first FPGA chip, as well as advanced HBM3E and Network-on-Chip technologies, through companies such as SkyeChip and Silicon X.

Building on this momentum, PSD@5KM+ continues to focus on nurturing early-stage startups, accelerating their growth over the next three to five years, upskilling talent, expanding incubation facilities, facilitating funding, and exploring global business opportunities. Through these efforts, Penang is advancing Malaysia’s National Semiconductor Strategy, further propelling the nation up the global semiconductor value chain and cementing its position as a hub for innovation, talent, and high-value technology.