Infineon started operating in Malaysia since 1973, through its Melaka plant, which used to be part of the semiconductor group of Siemens. Infineon was then spun off from Siemens AG. Malaysia is the only location outside of the USA and Europe where Infineon undertakes fully integrated manufacturing, both front end and back end operations, covering wafer fabrication, semiconductor chips assembly and testing.
Infineon operation in Malaysia is separated into 3 main operations:-
- Infineon Technologies (Kulim) Sdn Bhd : Front end operation (wafer fabrication) in Kulim, Kedah
- Infineon Technologies (M) Sdn. Bhd.: Back end operations of advanced logic microelectronics products in Batu Berendam Free Trade Zone, Melaka
- Infineon Technologies (Advanced Logic) Sdn. Bhd.: Back end operations of power, discrete & sensors microelectronics products in Batu Berendam Free Trade Zone, Melaka
In addition to manufacturing operations, all Infineon sites in Malaysia also conduct R&D on process development for next generation semiconductor chips and devices, especially in automotive and power semiconductor.
Since its establishment in Malaysia, Infineon has continued to expand and transform its operations through technology and innovation, becoming a significant contributor to the industrial transformation in the country. Both its Melaka and Kulim plants represent Infineon’s largest operation globally with more than 8,800 Malaysians employed as of 2015, about one-third of Infineon's global workforce.
The positive track record of growth and stability for Fab 1 in Kulim, and MIDA’s assistance were instrumental to Infineon Board Members’ decision to expand its wafer fab facility. The Fab 2 facility will be a manufacturing competence centre with a focus on megatrend technologies for energy efficiency and automotive industries. It will also be undertaking R&D activities and providing technical training for its Malaysian employees. Ultimately, this project will position Malaysia as a leading production hub of these revolutionary products.
During the opening ceremony of Fab 2 facility in Kulim, the group CEO, Dr Reinhard Ploss stressed that they continued to choose Malaysia for their expansion plans due to the country’s skilled workforce and good infrastructure. This attests to the conducive business environment in Malaysia.
Malaysian engineers working in Infineon will have the opportunities to enhance their skills as the company provides substantial in-house as well as overseas training by experts from all over the world. Infineon also works closely with local universities such as Universiti Malaysia Perlis (Unimap), University of Science Malaysia (USM), International Islamic University Malaysia (IIUM), Universiti Tunku Abdul Rahman (UTAR) and University of Malaya (UM), where Infineon organises seminars and provides development hardware as well as best student awards, in order to churn out Malaysian talents according to the industry needs.