Taiwan-based ASE Technology Holding Co Ltd, the world’s largest provider of outsourced semiconductor assembly and testing services, has officially opened its fifth facility in Penang. The expansion significantly increases the company’s footprint in Malaysia, tripling its total floor space to approximately 3.4 million square feet.
This development aligns with ASE’s long-term strategy to enhance chip packaging and testing capabilities, positioning Malaysia as a key player in the global semiconductor supply chain. The new plant integrates Industry 4.0 technologies, incorporating artificial intelligence (AI) and factory automation to optimize production. Advanced AI-driven solutions, including anomaly detection and data analytics, will improve yields and enhance operational efficiency. Leveraging the Artificial Intelligence of Things (AIoT), the facility is designed to boost productivity while reinforcing Malaysia’s role in the evolving semiconductor industry. The expansion also supports global demand for high-performance chips, particularly for artificial intelligence and advanced computing applications. ASE is set to hire 1,500 additional employees over the next few years to support operations at the new plant in the Bayan Lepas Industrial Zone.
Penang continues to solidify its reputation as a premier semiconductor hub, home to leading multinational corporations such as Intel, Infineon Technologies, B. Braun, and Bosch. ASE’s latest investment further strengthens Penang’s standing as the “Silicon Valley of the East,” highlighting the state’s importance in the global electronics and semiconductor industry. The expansion not only reinforces Malaysia’s status as a key regional player but also contributes to its economic growth through job creation and technological advancements.
(Sources: ASE Holdings; The Edge Malaysia)
