News
Prime Minister Anwar Ibrahim says Intel advanced packaging facility in Malaysia will begin operations this year
Thursday, March 19, 2026 at 04:40 AM
Prime Minister Anwar Ibrahim stated that Intel's advanced packaging facility in Malaysia is scheduled to begin operations by the end of 2026. This expansion strengthens Malaysia's position in the global semiconductor back-end supply chain, specifically targeting advanced packaging technologies required for high-performance computing.
Context
Malaysian Prime Minister Anwar Ibrahim confirmed that Intel's advanced packaging facility in Penang is 99% complete and will begin operations later this year. The announcement followed a meeting with Intel executives, including Malaysian-born industry veteran Lip-Bu Tan, and signals a revitalization of the project after reports in early 2025 suggested the expansion had been placed on indefinite hold. The project represents a landmark RM12 billion ($2.7 billion) capital expenditure and is a cornerstone of Intel's $7 billion multi-year investment strategy in Malaysia.
The facility is designed to handle high-end 3D packaging technologies, including EMIB and Foveros, which are critical for next-generation AI accelerators and high-performance computing. Anwar stated that this expansion cements Malaysia’s position as a "preferred destination for high-quality, technology-driven investments" under the National Semiconductor Strategy. To support this growth, Intel has also committed an additional RM860 million to enhance existing installation and testing operations and RM2.8 million toward local R&D and talent cultivation over the next two years.
Sources (9)
Updates: Intel's 10 Largest Construction Projects - NewsroomIntel to expand EMIB capabilities in Malaysia amid Section 232 probe uncertaintyIntel Commits Additional RM860 Million To Enhance Operations In Malaysia[News] Intel Ramps Up Advanced Packaging: Malaysia Complex Operational in 2026, EMIB UpdateAnwar says Intel boss Tan Lip Bu has outlined Malaysia ...KEYNOTE ADDRESS BY YAB PRIME MINISTER: ASEMIS ASEAN 2025 THE ONE YEAR ANNIVERSARY OF MALAYSIA’S NATIONAL SEMICONDUCTOR STRATEGY (NSS) | Prime Minister's OfficeRM30bil Intel investment to drive new phase in Malaysia's ...Intel's advanced packaging complex in M'sia to start ...
Related Companies
Intel
INTC