Malaysia’s AI chip leap, Shot in the Arm for chip sector

Malaysia inks landmark US$250m deal with Arm Holdings for chip design blueprints

KUALA LUMPUR: Malaysia is heading for a fundamental shift in semiconductors and technology with a move to produce AI chips locally, says the Prime Minister.

Datuk Seri Anwar Ibrahim described the partnership deal inked yesterday with UK-based Arm Limited as the start of a second semiconductor wave.

“Through a comprehensive partnership with Arm, we have conceived one of the most ambitious technological plans Malaysia has ever seen – to pioneer Made by Malaysia AI chips.

“These chips will be designed, manufactured, tested and assembled here, and sold to the rest of the world,” he said in his keynote address at the launching ceremony of strategic collaborations in the semiconductor industry here.

The partnership has three key features, which includes establishing comprehensive training programmes for 10,000 IC design engineers to create a robust talent pipeline for local semiconductor industries. 

“All relevant agencies in the public and private sectors, education institutions and universities must focus and start this programme immediately,” Anwar said. 

Looking to the future: Anwar posing together with (from left) Chief Secretary to the Government Tan Sri Shamsul Azri Abu Bakar, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz, Rafizi, Arm chief executive officer Rene Haas, Arm executive vice-president and chief commercial officer Will Abbey and Arm North America sales vice-president CK Tseng at the launch of Malaysia’s silicon vision strategic collaboration in semiconductor industry in Kuala Lumpur. — FAIHAN GHANI/The Star

Selected Malaysian companies will also have access to Arm’s technology and intellectual property (IP) portfolio. 

“The partnership will also facilitate the development of locally designed semiconductor products, advancing the nation’s goal of producing more advanced chips in Malaysia,” he said. 

The Prime Minister said Arm will also set up its first Asean office in Kuala Lumpur, with the aim of expanding outreach to the Asean, Australia and New Zealand markets. 

Anwar acknowledged the cross-ministerial efforts by the Investment, Trade and Industry Ministry, Malaysian Investment Development Authority (Mida), and the Finance and Economy ministries for working to make the partnership a reality. 

“Together, these ministries have worked diligently to secure Malaysia’s position as a semiconductor leader. 

“I am confident that we will create economic multipliers that are not confined by the beautiful shores of Malaysia,” he remarked. 

The landmark MOU and contract with Arm seeks to establish an ecosystem-wide partnership on semiconductors.

The projected ecosystem impact of a complete Arm Compute Subsystem lifecycle is approximately RM133bil. 

Economic spillovers are expected in innovation, job creation, wage growth, exports and investment.

Earlier, Economy Minister Datuk Seri Rafizi Ramli told Bloomberg Television that the 10-year agreement aimed to push Malaysia beyond its traditional role in chip assembly and testing, enabling local companies to design and develop their own semiconductors to compete in the global market.

Meanwhile, the Prime Minister’s Office (PMO) said Anwar would be chairing special state development meetings with key state government leaders and agencies.

Anwar’s senior press secretary Tunku Nashrul Abaidah said the Prime Minister had made it clear that the agenda to eradicate hardcore poverty remains his top priority.

“Since this agenda was announced in Budget 2023, he has mobilised all political secretaries to the states to ensure that efforts and assistance are systematically delivered to hardcore poor groups.

“These efforts include increasing the income of targeted groups, providing job opportunities, improving access to education, healthcare and housing, as well as enhancing the living standards and well-being of impoverished households.

“As of Dec 31 last year, Putrajaya, Negri Sembilan, Melaka and Perlis have successfully achieved zero hardcore poverty, and this success will be extended to the other states,” Tunku Nashrul said during the daily PMO briefing yesterday.

Anwar: Jobs, innovation and growth expected with latest shift

Shot in the Arm for chip sector

KUALA LUMPUR: Malaysia’s deal with SoftBank Group Corp-owned British firm Arm Holdings PLC is seen as a strategic move to propel the country up the semiconductor value chain and foster an intellectual property (IP)-based ecosystem, industry experts say.

Rakuten Trade head of equity sales Vincent Lau said the Bursa Technology Index is expected to gain some support from this development with Arm and provide a cushion for the sector amid broader market uncertainties.

The local technology sector has been under pressure, with the technology index down by about 25% year-to-date.

“The collaboration is an ambitious yet positive first step to move up the value chain. It also adds to the ongoing momentum in the technology sector beyond just the data centre theme.

“While market volatility persists, this initiative could provide some stability.

“There are also signs that the technology sector is approaching a bottom, with some stocks having dropped to levels seen during the Covid-19 pandemic period,” he told StarBiz.

Yesterday, Malaysia inked a memorandum of understanding and contract with Arm to establish an ecosystem-wide partnership on semiconductors.

This first-of-its-kind collaboration grants Malaysia access to Arm’s high-performance, power-efficient compute platform, Arm Compute Subsystem (CSS), the flexible licensing programme, Arm Flexible Access, among others.

As part of the deal, Arm will also train 10,000 semiconductor talents.

At the heart of this initiative is the government’s vision to build Malaysia’s first artificial intelligence chips in advanced industries, using a local-first approach at every part of the supply chain.

Further, Arm is also planning to set up an office in Malaysia in support of the government’s mission, which aims to expand outreach to Asean and Australia and New Zealand markets.

Economy Minister Datuk Seri Rafizi Ramli said this collaboration represents a shift from the traditional approach of relying on grants and tax exemptions to attract foreign direct investment into Malaysia’s semiconductor industry.

“For decades, Malaysia has built a robust semiconductor sector by attracting multinational corporations to set up their operations here.

“However, much of this has been focused on back-end processes such as assembly and testing, which account for only 15% to 20% of the total value chain.

“The bulk of the value – around 60% – lies in front-end activities such as chip design,” he said during the panel session, “AI Leadership: The Power of IP Transfer in Malaysia”, at the Strategic Collaboration in Semiconductor Industry yesterday.

Rafizi added that the traditional approach has helped Malaysia become a manufacturing hub.

However, advancing to the next level, one driven by IP and high-value investments, poses significant challenges.

“Relying on local companies to organically develop research and development and IP capabilities would be costly and time-consuming.

“Instead of offering conventional tax breaks and capital subsidies, Malaysia is now using IP as an incentive,” he said.

Malaysia will be spending US$250mil over a decade to acquire Arm’s chip design plans for local manufacturers.

The projected ecosystem impact of one complete Arm CSS lifecycle is about US$30bil.

“I want to see a Malaysian-designed chip enter the global market within the next five to seven years,” Rafizi said.

Malaysia Semiconductor Industry Association President Datuk Seri Wong Siew Hai also applauded the government’s plan, which is in support of the National Semiconductor Strategy launched last year.

Wong said the key challenge moving forward is the plan’s execution and talent. He noted that while the country has talents, there are still gaps in expertise that need to be addressed.

“To bridge this gap, we must bring in foreign expertise, and if Arm can help Malaysia in that aspect, that is good.

“Alongside talent development, market demand is another key factor.

“Do we have customers for locally designed chips?” he asked.

Meanwhile, QES Group Bhd managing director and president Chew Ne Weng said while the tie-up with Arm will give Malaysia a push towards a higher value chain, the only concern will be regarding the talent pipeline and the stability of energy and water resources if wafer fab foreign direct investment were to come in a big way.

“These are the gaps that the government needs to address quickly. It will not be an easy feat for companies to tape-out (the final design stage before chip manufacturing).

“However, it is achievable by leveraging the expertise of existing integrated circuit design firms and foreign-owned companies.

“A longer runway could be necessary but we need to start somewhere,” he said.

Technology 16h ago

Arm partnership set to reshape technology sector

Silicon powerhouse story

Wong (left) presenting a token of appreciation to Chow (right) as Ahmad Fuzi looks on. — LIM BENG TATT/ The Star

Harmful deepfakes on the rise

 

Google’s ai being used to create illegal material, aussie authories told

SYDNEY: Google has informed Australian authorities that it received more than 250 complaints globally over nearly a year that its artificial intelligence (AI) software was used to make deepfake terrorism material.

The Alphabet-owned tech giant also said it had received dozens of user reports warning that its AI programme, Gemini, was being used to create child abuse material, according to the Australian esafety Commission.

Under Australian law, tech firms must supply the commission periodically with information about harm minimisation efforts or risk fines.

The reporting covered April 2023 to February 2024.

Since Openai’s CHATGPT exploded into the public consciousness in late 2022, regulators around the world have called for better guardrails so that AI can’t be used to enable terrorism, fraud, deepfake pornography and other abuse.

The Australian esafety Commission called Google’s disclosure “world-first insight” into how users may be exploiting the technology to produce harmful and illegal content.

“This underscores how critical it is for companies developing AI products to build in and test the efficacy of safeguards to prevent this type of material from being generated,” esafety Commissioner Julie Inman Grant said.

In its report, Google said it received 258 user reports about suspected Ai-generated deepfake terrorist or violent extremist content made using Gemini, and another 86 user reports alleging Ai-generated child exploitation or abuse material.

It did not say how many of the complaints it verified.

A Google spokesperson said it did not allow the generation or distribution of content related to facilitating violent extremism or terror, child exploitation or abuse, or other illegal activities.

“We are committed to expanding on our efforts to help keep Australians safe online,” the spokesperson said by email.

“The number of Gemini user reports we provided to esafety represent the total global volume of user reports, not confirmed policy violations.”

Google used hatch-matching – a system of automatically matching newly-uploaded images with already-known images – to identify and remove child abuse material made with Gemini.

But it did not use the same system to weed out terrorist or violent extremist material generated with Gemini, the regulator added.

The regulator has fined Telegram and X, for what it called shortcomings in their reports.

X has lost one appeal about its fine of A$610,500 (Rm1.71bil) but plans to appeal again.

Telegram also plans to challenge its fine.- , Reuter

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DIGITAL WAVE of deception

OWNERS TO PAY FOR TENANTS' CRIMES, Beware who you rent to, Police to hold owners, JMBs, and security firms accountable for scam centres

 

Suspicious individuals: Comm Ramli showing the suspects from the raids on three call centres during a press conference at CCID headquaters in Kuala Lumpur. — AZHAR MAHFOF/The Star

KUALA LUMPUR: Property owners can no longer collect a big, fat deposit and rent in advance, and then sit back and enjoy the money without bothering about their property.

They will now be held responsible for any crime committed at their premises, say police.

Joint management bodies (JMB) of high rise residences and security companies can also be charged in court should they fail to report any suspicious or criminal activity at property under their care.

“These people can no longer claim ignorance when crimes occur at these premises,” Commercial Crime Investigation Department (CCID) director Comm Datuk Seri Ramli Mohamed Yoosuf said.

“Some security companies, owners and JMBs know about criminal activities including the existence of scam call centres. But they feign ignorance.

“It is quite alarming that scam syndicates now prefer to set up call centres at condominium units, especially the luxury ones,” he told a press conference at CCID headquarters yesterday.

Comm Ramli said investigations into call centres will no longer be focused solely on criminals but also the owners, JMB and security companies.

“We will propose that all three parties be charged under Section 120(B) of the Penal Code for criminal conspiracy.”

Scam syndicates often pay rent for up to a year in advance or even buy residential units in cash, he said.

“Owners are just happy to get such a big payment, but they must also be responsible for all activity at their premises or buildings,” he said.

He was commenting on the matter following recent raids at three condominiums here which had been used as scam calls centres.

“I urge all parties, especially owners of premises, to conduct KYC (know your customer) before allowing anyone to rent or buy such premises.

“It is their owners’ responsibility to ensure no criminal activity occurs at these premises,” he said.

On the raids, Comm Ramli said 11 Chinese nationals were detained at the three condominiums along Jalan Tun Razak on Feb 26.

“In the first case, three men and a woman were detained while various items, including laptops and mobile phones, were seized.

“The syndicate had a lucky draw scheme targeting Chinese nationals and using QR codes. They had been operating for about two months,” he said.

In the second raid, two men aged 31 and 40 were detained for running a scam targeting online gamers, Comm Ramli said.

“They targeted victims from China and Singapore and used Telegram to advertise their bogus online games.

“Victims had to make payments in US dollars before they could register. However, they could not access the games after payments were made,” he said.

In the third raid, five men aged between 33 and 35 were held.

One of them was the supervisor while the four others were customer service officers.

Investigations showed the syndicate was running an investment scam, targeting Chinese nationals using the  “mycaifuhao.eastmoney.com” platform, he said.

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Bukit Aman to hold owners, JMBs, and security firms accountable for scam centres

KUALA LUMPUR: Bukit Aman is taking a firm stance against scam call centres by pushing for property owners, joint management bodies (JMBs), and security companies to be held liable if such activities are found on their premises.

Bukit Aman Commercial Crime Investigation Department (CCID) director Comm Datuk Seri Ramli Mohamed Yoosuf said these entities could no longer claim ignorance if illegal activities take place in their rented buildings or units.

“We received intelligence that some security companies, owners, and JMBs were aware of criminal or suspicious activities happening on their premises,” he told a press conference at CCID headquarters on Wednesday (March 5).

He said it was alarming that scam syndicates often chose luxury condominium units as their operational bases.

Investigations will no longer focus solely on the scammers themselves but also on the property owners, JMBs, and security companies that allow such illegal activities to take place.

“We will not hesitate to propose charges against these entities under Section 120(B) of the Penal Code for criminal conspiracy,” he said, adding that prosecution could be based on statements recorded during investigations.

His comments followed three recent raids on condominium units in Kuala Lumpur that were being used as scam call centres.

Ramli urged property owners to conduct proper background checks before renting out their units to avoid being implicated.

"I urge all parties, especially owners of premises, to conduct KYC (know your customer) before allowing anyone to rent or use such premises.

“Excuses such as not realising criminal activity was happening will no longer be accepted. As owners, it is their responsibility to ensure no such activities occur,” he said.

He added that scam syndicates often paid lump sums for up to a year’s rent or even bought residential units in cash, making it even more crucial for owners to verify the nature of their tenants’ activities.

“Owners might be happy receiving such large payments, but they must also ensure they know what their premises are being used for,” he said.

On February 26, police conducted raids on three condominiums along Jalan Tun Razak and detained 11 Chinese nationals suspected of operating scam call centres.

In the first raid, three men and a woman from China were arrested for running a lucky draw scam targeting Chinese nationals. Police seized four laptops and six mobile phones. The syndicate had been operating for about two months.

In the second raid, two Chinese men aged 31 and 40 were detained for operating a scam targeting online gamers from China and Singapore. The suspects used Telegram to promote bogus online games, requiring victims to make payments in US dollars before registering. However, victims were unable to access the games even after making payments.

The third raid saw five Chinese men, aged between 33 and 35, arrested for running an investment scam. One of them was identified as the supervisor, while the other four acted as customer service officers. Police seized four computers, six mobile phones, and a laptop.

Investigations revealed that the syndicate had been operating from the condominium for a year, using the “mycaifuhao.eastmoney.com” platform to lure victims. Those interested were given a link and ID through the Mosgram application and joined a live investment class.

Ramli said the case is being investigated under Section 420/120(B) of the Penal Code and the Immigration Act.

With scam call centres becoming increasingly sophisticated, authorities are stepping up efforts to ensure that those facilitating these illegal operations—whether intentionally or through negligence—are held accountable.

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MACC confirms former PM Ismail Sabri is a suspect in RM170m graft probe, items seized: Cash, gold, other loot

 

PUTRAJAYA: With bundles of cash in numerous currencies, as well as gold ingots and luxury watches totalling millions uncovered, the question now is how deep the current corruption probe into former prime minister Datuk Seri Ismail Sabri Yaakob goes.

At a press conference on the matter at the MACC headquarters here yesterday, Chief Commis­sioner Tan Sri Azam Baki said MACC was now viewing Ismail Sabri as a suspect and not just a witness.

“In this matter, I can say that he is a suspect in the case.

“Firstly, Section 36 (of the MACC Act) has been issued for asset declarations.

“Secondly, since the money was found with links to him, we will need his statement on the discovery,” said Azam.

Yesterday’s press conference displayed the recent haul of monies found in raids linked to the investigation.

Precious items: The foreign currencies and gold items that were seized being displayed at the press conference at the MACC headquarters in Putrajaya. — Bernama

Bundles of cash were arranged and grouped together according to the respective currencies.

Several luxury-brand watches and gold bars were also on display.

On Sunday, the MACC said in a media statement that around RM170mil in foreign currency and 16kg in gold worth nearly RM7mil were seized from “safe houses” following investigations into four senior officers who served under Ismail Sabri.

The foreign currencies seized included Thai baht, Saudi riyal, British pound, Korean won, euro, Swiss francs and Chinese yuan.

Regarding the seized monies, Azam said investigations were underway to trace finances.

“On this matter, our officers from the Forensic and Intelligence divisions will be involved,” he added.

On the current status of investigations, Azam said no Yayasan Keluarga Malaysia bank accounts had been frozen.

“We have yet to freeze the Yayasan Keluarga Malaysia account because it is not an individual account and remains active.

“However, accounts of the former prime minister are being investigated and we will seek explanations from him on all his accounts,” Azam said.

A total of 13 bank accounts with around RM2mil have been frozen as part of the investigations.

Azam said the Commission still needed to record statements from seven or eight other individuals for further action.

He also said Ismail Sabri would be called back in for additional statements, though it would depend on his current health condition.

“It is expected that the session will be conducted this Wednesday.

“The statement recording will be on his asset declaration and the cases currently being investigated,” Azam added.

When asked if Ismail Sabri’s former private secretary Datuk Nazimah Hashim was overseas as claimed by some parties, the MACC chief denied the claims.

Azam said MACC had met her for statement recording as well.

“Her statement has been taken and there has never been an instance where we had to get her statement from overseas. She is still in the country,” he confirmed.

Azam also denied claims that the investigation was politically linked, or a form of selective prosecution.

“Do you think it is selective? I direct the question back to you.

“I don’t think so. I always maintain that we investigate professionally and fairly.

“This is no current instruction from anybody. We act on our own based on information and evidence,” he said.

Four former officials, including two individuals with the title Datuk, who are linked to Ismail Sabri were previously remanded by the MACC on Feb 21, on suspicion of being involved in corruption.

It is understood that several cases are currently under investigation by MACC, including one involving government spending amounting to RM700mil for promotional and publicity purposes.

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Related stories:

• MACC to call Ismail Sabri for statement on Wednesday
• No selective prosecution in Ismail Sabri case, says Azam Baki
• Ismail Sabri a suspect in ongoing MACC investigation, says Azam Baki
• RM170mil and gold seized
• MACC looks to recall ex-PM
• MACC to summon Ismail Sabri again to assist in investigations
• MACC to haul up eight more people in ex-PM aides’ graft probe
• Three ex-aides of former PM Ismail Sabri released on MACC bail
• Prominent figures among witnesses to be called up in probe into four linked to ex-PM, says MACC chief 

Malay Mail

Cash, gold, other loot: The items MACC seized in RM177m case of ex-PM Ismail Sabri     

2 days ago

How good is your Internet?

 

MCMC’s new Nexus app lets you rate the service

PETALING JAYA: With consu­mers spending their hard-earned money on quality Internet ­services from telecommunication providers, the question remains: How can they ensure they are getting what they paid for?

On top of that, issues such as dropped connections, slow download and upload speeds, along with inconsistent Internet coverage throughout a premises leave many wondering whether the service they receive matches their subscription.

Recognising these concerns, the Malaysian Communications and Multimedia Commission (MCMC) has introduced a new tool to empower consumers with insights into whether they are receiving adequate service.

Dubbed the MCMC Nexus application, the app allows users to assess their Internet speed, functionality and overall connection quality based on the Mandatory Standards for Quality of Service (MSQoS).

Try it now: The beta version of the newly developed MCMC Nexus app that accurately measures the speed and quality of the Internet service on your phone is available for download. — Low Boon Tat/The Star

Currently in its beta version, the app offers comprehensive speed test functionalities, inclu­ding measurements for download and upload speeds, jitter and ping across 4G, 5G and Wi-Fi networks.

The app will be officially introduced at the Malaysian pavilion of the Mobile World Congress in Barcelona that is taking place until March 6.

Businesses can also benefit from its route and building survey features.

Route surveys allow users to track connection quality along a specific route while building surveys enable users to determine Wi-Fi signal strength at different locations within a building.

“The information is then relay­ed in near real-time to both service providers and MCMC, allowing them to monitor service qua­lity.

“This enables proactive action to be taken to address issues,” MCMC commissioner Derek Fer­nandez (pic) said in an interview.

For best results, users should enable location settings and dis­able virtual private networks.

When asked how MCMC Nexus differs from other self-conducted internet speed tests, Fernandez explained that test results are directly transmitted to service providers and MCMC via their dashboards.

“The test results serve as indicators, alerting operators and regulators of problems that warrant further attention.

“This allows MCMC and telcos to deploy ground units to survey the affected area and enhance service quality,” he said.

Depending on location and com­plaint volume, ground teams can arrive within 48 hours to investigate issues.

The test results are displayed using a colour-coded system with green showing that the service meets minimum MSQoS and red, the opposite.

“However, a green indicator does not necessarily mean the service meets the contract standards agreed upon with the provider,” Fernandez clarified.

He emphasised that the app reflects the government and MCMC’s commitment to transpa­rency, fairness and cooperation in the telecommunications sector towards a sustainable and inclusive digital economy.

“People are human beings and assets to businesses – not pro­ducts,” he stressed.

The app’s development, operation and testing were led by MCMC’s Central Monitoring Divi­sion and Geospatial and Data Management Division, collectively known as the MCMC Nexus team.

Following the commission’s approval of the project on Jan 10 last year, Fernandez spearheaded the initiative.

“We had an in-house development team working alongside an external engine provider. More importantly, the app is proprieta­ry to MCMC,” he said, adding that it took one year to develop.

Fernandez also noted that telcos can benefit from the app as it aids network planning, congestion management and service optimisation.

“This tool can save telcos a lot of money since they don’t have to physically go to the ground to check, but instead utilise the data sent through the application to identify potential pain points.”

The beta version of the app is now available for Android users on Google Play Store, while the iOS version is currently in development.

The full version of the app is expected to be released by mid-2025.

Users can provide feedback on the beta testing phase by e-mailing nexus@mcmc.gov.my.

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