Malaysia on Monday launched its first AI processor chip, marking a new step in the country's entry into the global race to produce key electronic components for the development of artificial intelligence (AI).
Local designer SkyeChip unveiled the MARS1000 chip at an industry event attended by senior government officials.
The chip is Malaysia's first edge AI processor, the component that powers devices from cars to robots, according to the Malaysian Semiconductor Industry Association.
The move is in line with Malaysia's efforts to expand its role in the global chip supply chain and capitalize on the rapid growth of AI technology.
The country, already a major player in semiconductor packaging and a manufacturing hub for international suppliers such as Lam Research Corp, is emerging as a strategic location for AI data centers with major investments from companies including Oracle Corp. and Microsoft Corp.
However, SkyeChip is yet to explain the chip's design.
Prime Minister Datuk Seri Anwar Ibrahim is working on a long-term plan to strengthen the sector, including chip design, wafer fabrication and AI data centres, with an allocation of at least RM25 billion to move up the global value chain.
However, the effort faces challenges following the Donald Trump administration’s proposal to restrict the flow of AI chips to Malaysia and Thailand, following allegations that these countries are being used as transit locations for chip shipments to restricted markets such as China.
In response, Malaysia recently tightened export controls on US-technological AI chips and reiterated its zero-tolerance stance against any illicit trade activities.
