RM25m allocated for National ATE Campus in Batu Kawan

GEORGE TOWN: The federal government has allocated RM25 million to establish the National Automation, Testing and Equipment (ATE) Campus in Batu Kawan to strengthen Penang's semiconductor ecosystem.

Economy Minister Akmal Nasrullah Mohd Nasir announced the allocation, channelled through the Economy Ministry under the 13th Malaysia Plan (13MP), in conjunction with KL20@Penang 2026: Silicon Surge.

The Penang government has provided 10 acres for the campus, which will focus on talent development, technology qualification and the joint development, testing and adoption of Malaysian-made ATE solutions.

Akmal said the allocation, together with RM50 million for Penang Silicon Design at 5KM Plus, reflected the federal government's commitment to building a more comprehensive semiconductor ecosystem in the state.

"The support will link talent development, chip design, engineering, technology qualification and commercialisation, enabling more Malaysian companies to develop products, own intellectual property and compete in global markets," he said.

Chief Minister Chow Kon Yeow welcomed the allocation, saying the campus would strengthen the state's industrial technology capabilities.

He said the initiative, alongside the RM50 million Penang Strategic Technology Fund, would help strengthen local technology companies and develop more local champions.

The federal government is also providing RM12.3 million until 2030 for the Penang STEM Talent Blueprint, targeting 100,000 students.

The initiatives support Malaysia's shift from "Made in Malaysia" to "Made by Malaysia" and align with the National Semiconductor Strategy, which targets at least RM500 billion in investments.

Between 2020 and 2025, Penang recorded RM25 billion in approved manufacturing investments in the machinery and equipment sector, accounting for about 40 per cent of Malaysia's total.

KL20@Penang 2026 also saw InvestPenang and the Northern Corridor Implementation Authority (NCIA) formalise collaborations with industry, research and talent-development partners to strengthen links between technology, research, talent and local companies.