According to Reuters, Intel will invest 30 billion ringgit (approximately $7 billion) to expand the production capacity of its advanced Semiconductor packaging plant in Penang, Malaysia. At the same time, this investment will also position Malaysia as one of Intel’s key centers for manufacturing and shared services.
The Malaysian Investment Development Authority stated that this move will enhance Intel’s advanced process semiconductor packaging capabilities.
According to the Investment Development Authority, a press conference on this investment will be held on December 15. Intel CEO Patrick Paul Gelsinger, Malaysian Minister of Trade Azmin Ali and Malaysian Investment Development Authority CEO Arham Abdul Rahman will attend the press conference.
The report pointed out that chip packaging is the last key step in the semiconductor manufacturing process, and part of Intel’s chip packaging business relies on Malaysia. During the production interruption caused by the Covid-19 pandemic, the demand for chip products in almost all fields, from automobiles to smartphones, has surged, causing supply chain problems for many industries that rely on semiconductors, which has forced Intel and other manufacturers to accelerate capacity expansion to meet market demand.