KUALA LUMPUR, Oct 9 — Selangor will launch its second Integrated Circuit (IC) Design Park in Cyberjaya on November 6, said state executive councillor for investment, trade and mobility Ng Sze Han.
He confirmed the IC Design Park 1 is fully occupied by 12 companies, and that the second park will be launched to meet growing demand.
“Now we have 12 IC design companies, and we will launch IC Design Park 2 on November 6 in Cyberjaya,” he said during a forum held under the Selangor Asean Business Conference (SABC) here today.
IC Design Park 1, launched in August last year in Puchong and spanning over 5,500sqm, houses global semiconductor players including MaiStorage, Skyechip, Weeroc, AppAsia ChipsBank, and SensoremTek Sdn Bhd.
Menteri Besar Dato’ Seri Amirudin Shari previously expressed the state’s commitment of between RM5 million and RM10 million annually over 10 years to develop the front-end semiconductor value chain, which involves chip design.
Ng said that the exploration and investment in high-value industries based in Selangor aims to provide good starting incomes for fresh graduates and uplift the middle class.
“This is one of the requirements we set for our IC Design Park. For companies that would like to join us, they must pay a minimum starting salary of RM6,000 to fresh graduates,” he said.
“We believe these industries can afford it, and the challenge we are facing in this region, besides Singapore, is the middle-income crisis, so we asked the question of … Can we increase middle incomes to retain talent in this region?” he said.
Backed by the federal government under the National Semiconductor Strategy (NSS), Ng added that political stability and federal-state collaboration are important to secure investor confidence.
Meanwhile, he said local aerospace players, especially in the maintenance, repair, and overhaul (MRO) sector, should not be concerned about foreign companies setting up shop here.
While local players have complained that foreign firms lure top talent with higher wages, he said this creates healthy competition, pushes wages upwards, and helps the state tackle its middle-income trap.
“If we do not have foreign MRO facilities or foreign investors in MRO facilities, this group of talented engineers, aircraft engineers, may seek better opportunities overseas.
“When overseas investors invest in the MRO sector in Malaysia, they can offer slightly higher pay than local players … (this could) increase the salary level, at least for the middle class, to overcome the middle-income crisis,” Ng added.
SABC is conducted under the auspices of the Selangor International Business Summit (SIBS), which is being held at the Kuala Lumpur Convention Centre until Saturday.
