Anwar, who is also the finance minister, made this announcement at the launch of the GBS TechSpace as the Silicon Research and Incubation Space, a key component of the initiative, at a hotel in Bayan Lepas today.

The event also witnessed the signing of a memorandum of understanding between InvestPenang, strategic partners, and recipients of incentives under Penang Silicon Design @5km+, as well as the unveiling of new investors for the initiative, Bernama reported.

The initiative aims, among other goals, to position Penang as a leading global hub for IC design, thereby strengthening Malaysia’s role in the IC ecosystem, fostering a dynamic and conducive environment with robust infrastructure, creating high-value job opportunities, and attracting foreign direct investments.

Penang Silicon Design @5km+ comprises three main components, namely the Integrated Circuit Design and Digital Park, the Penang Chip Design Academy, and the Silicon Research and Incubation Space.

According to InvestPenang, incentive schemes have been introduced to attract IC design companies to establish and expand their operations in Penang, offering subsidies of up to RM2 million annually for three years to eligible local and foreign IC design firms.

Chief minister Chow Kon Yeow previously said that the initiative is projected to attract investments worth RM120 million over the next five years, with the state government allocating RM60 million to support the programme.

Currently, 28 local and foreign firms in the IC design sector are operating in Penang.