Penang, already renowned for its industrial prowess, is poised to solidify its position in the global technology arena with the establishment of its own Integrated Circuit (IC) Design and Digital Park. Spanning a vast million square feet of prime office space, including the existing Innoplex building within the Bayan Lepas Industrial Park, this ambitious project marks a significant milestone in the state’s journey towards innovation and economic growth.

Chief Minister Chow Kon Yeow unveiled this groundbreaking initiative, highlighting Penang’s unwavering commitment to fostering innovation, driving growth in key industries, and attracting top-tier talent. The project, covering 105 acres in two distinct phases, is a testament to the state’s vision for a vibrant digital economy ecosystem.

The first phase, currently underway, features the construction of GBS By The Sea and GBS TechSpace, two state-of-the-art office buildings totaling 350,000 sqft. These buildings represent an investment of RM347 million and are set to be completed by the fourth quarter of this year. Phase two will see the addition of GBS TechnoPlex, a prominent structure contributing an extra 500,000 sqft to the project by 2027, with an investment of RM308 million.

Chow emphasized that the park would serve as a hub for high-impact initiatives spanning IC Design, research and development (R&D), Global Business Services (GBS), digital technology investments, and a circular digital economy ecosystem. The facilities will boast cutting-edge engineering labs and ample parking space for up to 1,000 vehicles, catering to the diverse needs of businesses and professionals.

In addition to providing world-class infrastructure, the state is formulating incentive packages to attract strategic investors and enhance the park’s ecosystem. Plans include contemporary amenities such as pedestrian-friendly walkways, bicycle lanes, park-and-ride facilities, and recreational areas, further solidifying Penang’s appeal as a premier investment destination.

Penang’s existing industrial landscape, home to key players in the GBS and IC Design industries, including global giants like Intel, Motorola, and AMD, underscores the state’s attractiveness to investors. Chow revealed plans to unveil four more prominent global investors soon, signaling growing confidence in Penang’s economic potential.

Highlighting the pivotal role of the manufacturing and services sectors, Chow noted their significant contribution to the state’s revenue. However, he emphasized the increasing demand from the digital economy sectors, particularly IC Design, R&D, and GBS, reflecting evolving global trends and Penang’s readiness to embrace change.

To further promote IC Design, the state will offer subsidised rental rates for office spaces and seek incentives from the Federal Government to reinforce the ecosystem. Chow commended the Penang Development Corporation (PDC) and InvestPenang for their instrumental role in spearheading the development, underscoring the collaborative efforts driving Penang’s transformation into a global technology hub.

As Penang embarks on this transformative journey, the Integrated Circuit Design and Digital Park stand as a testament to the state’s vision, resilience, and determination to shape a future where innovation thrives, businesses flourish, and communities prosper.