Micron Malaysia powers AI revolution with sustainability, local impact - MIDA | Malaysian Investment Development Authority
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Micron Malaysia powers AI revolution with sustainability, local impact

Micron Malaysia powers AI revolution with sustainability, local impact

05 Feb 2025

The company is driving progress while building a lasting legacy through AI advancements and community initiatives

MICRON Technology Inc, a global leader in memory and storage solutions, is positioning Malaysia at the heart of the artificial intelligence (AI) revolution while driving sustainability and local economic growth. 

Since its establishment in 2010 (in Muar, Johor), 2018 (Prai, Penang) and 2020 (Batu Kawan, Penang), the company has grown to employ 5,740 people, including 4,700 in manufacturing, 350 in research and development (R&D) and 390 in global hub roles such as finance, IT and people services. 

Bearing its biggest footprint in Malaysia with 145,000 sq m, the Batu Kawan facility serves as the Centre of Excellence for solid state drives (SSD) and is a qualification site for cutting-edge memory products. 

In total, Micron Technology’s footprint in Malaysia stood at 170,000 sq m. 

Assembly and Test NAND Operations corporate VP Amarjit Sandhu shared how the site contributes to the company’s global strategy and local impact. 

“Malaysia is not just a manufacturing hub; it is a cornerstone of our global strategy,” he said during a visit by The Malaysian Reserve (TMR) to Micron Malaysia’s facility in Batu Kawan recently. 

Key products produced in Malaysia include NAND flash memory, compute DRAM (dynamic random-access memory), client and enterprise SSDs and DIMMs (dual in-line memory modules). 

Globally, Micron recorded US$25.1 billion (RM112.2 billion) in revenue for financial year 2024 (FY24), solidifying its position as a leader in memory and storage solutions. 

Its product portfolio includes high-band-width memory (HBM), DRAM, NAND flash storage and SSDs, all of which are indispensable in powering today’s data-intensive applications. 

Headquartered in Idaho, US, the company has operated for over 45 years across 18 countries, boasting 11 manufacturing sites and 13 customer labs. It has amassed a portfolio of over 58,000 patents and employs approximately 50,000 people worldwide. 

Leading the AI Revolution 

At the heart of Micron Technology’s innovation is its ability to power the AI ecosystem. As AI applications like ChatGPT revolutionise industries, memory and storage solutions have become the backbone of these technologies. 

Micron Malaysia manufactures products like HBM3E and DDR5 memory, which are specifically designed to meet the demanding requirements of AI workloads. 

The HBM3E, for example, delivers 36 gigabytes of memory per unit, enabling higher-precision training and data processing with 30% lower power consumption compared to previous generations. 

Meanwhile, DDR5 memory boasts a 45% increase in bit density and consumes 24% less power in data centre environments. 

The company’s expansion memory and SSDs further enhance AI applications by providing high-capacity, low-latency solutions. 

These innovations allow AI models to process vast datasets efficiently, supporting breakthroughs in machine learning, natural language processing and more. 

Highlighting this, Amarjit explained that Micron Technology’s memory and storage products play a crucial role in powering the AI revolution, enabling applications that would otherwise be impossible. 

On the industry’s point of view, Amarjit revealed that AI PCs are expected to enter the market soon, highlighting that it will create a new wave of opportunities for the semiconductor industry. 

He also mentioned the impact of quantum computing, saying that whether AI or quantum technologies dominate, Micron Technolog y’s memory and storage products will remain indispensable. 

“Both technologies rely heavily on what we provide, ensuring our continued relevance,” he added. 

Micron Technology’s investments in AI technology are not just limited to Malaysia. Globally, the company has been driving innovation through advanced R&D efforts, including the development of new HBM products for next-generation AI processors, ensuring the company remains at the forefront of the industry. 

Amarjit added that approximately 13% of the world’s semiconductor components come from Micron Technology, with a substantial portion produced in Malaysia. These components are critical to AI infrastructure, supporting high-density memory modules, edge devices and data centres. 

“Malaysia plays a significant role in the global AI ecosystem,” he said, highlighting the country’s position as a manufacturing hub alongside major industry players like Broadcom Inc, Texas Instruments Inc and STMicroelectronics NV. 

Nevertheless, Amarjit highlighted Micron Technolog y’s commitment to delivering products that cater to the growing sector. 

“We are all riding the AI wave, and the products we have today are gaining good traction. Execution is very important to meet current demands while preparing for new products for tomorrow,” he said. 

Micron Technology aims to match its focus on innovation with strong execution across critical areas such as productivity, cost management, quality and reliability. 

“We will continue to focus on introducing the latest and greatest products required by the market,” he added, emphasising Micron Malaysia’s dedication to staying ahead in the rapidly evolving technology landscape. 

Meanwhile, AI integration into consumer electronics, such as laptops, TVs and smart home devices, is also creating new opportunities for memory and storage products. 

“As consumer electronics become smarter, the demand for advanced memory and storage solutions will only increase,” he said. 

Amarjit pointed to features like AI-driven optimisation in TVs and smart appliances as examples of emerging trends. 

Concurrently, leveraging on IR4.0 innovations to enhance its manufacturing processes, Micron Technology has integrated Internet of Things sensors into its facilities. 

It enables real-time monitoring of speed, temperature and pressure to improve operational efficiency and product quality. Additionally, Micron Technology is developing remote operating centres to further streamline process management. 

Empowering Local Economy 

Micron Technology’s presence in Malaysia extends beyond its facilities. The company has cultivated a robust local ecosystem, working with over 700 vendors and spending more than RM2 billion locally between FY20 and FY24. 

This ecosystem includes materials suppliers, equipment manufacturers and electronic manufacturing services providers, most of whom are located within a 60km radius of Micron Technology’s sites. 

Key partners such as Jabil Inc, Plexus Corp and NationGate Holdings Bhd play a vital role in supporting Micron Technology’s operations while creating additional jobs and opportunities in the region. 

“Micron Technology’s investments have a multiplier effect, benefitting not just our company but the broader economy,” Amarjit said. 

The company also announced plans to expand its operations in Malaysia, signalling its long-term commitment to the region. 

This expansion includes further enhancements to its manufacturing capabilities and increased collaboration with local suppliers, which is expected to generate even more economic value. 

Investing in Talent Development 

Recognising that innovation requires a skilled workforce, Micron Malaysia has made significant investments in talent development. The company collaborates with 12 universities, polytechnics and training institutes to build a pipeline of science, technology, engineering and mathematics talent. To date, it has invested over RM8 million in these initiatives. 

Micron Technology provides scholarships, internship and R&D opportunities, allowing students to gain hands-on experience and access job opportunities upon graduation. 

The company also takes on 50 to 60 interns annually, with plans to convert many of them into full-time employees under its New College Graduates programme. 

This structured approach aligns with the scaling of its operations, ensuring that as the company grows, it continues to meet its workforce needs. 

Micron Malaysia currently operates with 18 distinct functions, including manufacturing, R&D, finance and human resources, all of which have evolving requirements that guide their strategic hiring efforts. 

Its diversity programmes are equally impressive, with commitments to increasing the representation of women in engineering through partnerships and outreach programmes. 

The gender ratio among workers at its three facilities is approximately equal, with a 50:50 balance. 

The company also hires individuals with disabilities, military veterans and women returning to the workforce after childbirth. 

Facilities have been adapted to meet the needs of employees with hearing impairments, ensuring inclusivity at every level. 

Further supporting the workforce is the Employee Resource Groups (ERGs), which offer initiatives tailored to different demographics, from tenured professionals to young graduates. 

76% of Micron Malaysia’s team members are part of at least one ERG, demonstrating the company’s commitment to employee engagement. 

“Our goal is to anticipate and adapt to the changing requirements of the industry while building a workforce that meets the needs of our future,” Amarjit said. 

Building Stronger Communities 

Micron Technology’s impact extends well beyond its facilities, demonstrating a strong commitment to community engagement. 

Since 2019, the company has donated RM6 million to marginalised communities, flood victims and frontliners, while also providing 150,000 meals to underprivileged groups through collaborations with organisations like Rise Against Hunger. 

To promote education, Micron Technology has distributed laptops to students from low-income families, implemented a school adoption programme for mentoring rural schools and partnered Teach for Malaysia, providing grants worth RM120,000. 

Additionally, the company has prioritised environmental conservation by planting 400 mangrove trees and organising beach cleaning efforts, collecting over 1,000kg of waste. 

It also runs the AquaConnect project in Johor, supplying water to 460 indigenous families. 

In 2024, 92% of Micron Malaysia employees volunteered in community programmes, contributing 34,000 hours of engagement and demonstrating a deeply ingrained culture of giving back. 

These efforts reflect Micron Technology’s dedication to building resilient communities and fostering positive societal impact. 

Sustainability at Core 

In terms of sustainability in the semiconductor industry, Micron Malaysia is setting new benchmarks with an investment of RM5 million in sustainability initiatives. 

The Batu Kawan facility operates on 100% renewable energy, a milestone equivalent to removing 24,000 vehicles’ emissions annually. 

Amarjit also revealed that the facility’s open parking area will soon be outfitted with solar panels, transforming it into a solar-covered parking space in the near future. 

One of the most unique initiatives is its urban farming programme, also in Batu Kawan. To date, it has harvested 75,000kg of produce, including “kangkung” and winter melon, with 30% of the harvest donated to local communities. 

According to Amarjit, the farm is fully maintained by the staff, fostering a sense of community while promoting environmental stewardship. 

In a few years, the farm is expected to begin harvesting durians, as the trees have already been growing for two years. 

Nationwide, Micron Malaysia’s facilities recycle water, saving the equivalent of 6,000 Malaysian households’ yearly consumption, and have achieved a 94% waste recycling rate. 

The company holds certifications such as LEED for energy efficiency and ISO 50001 for energy management. It has also received accolades like the National Energy Award and the Green Tech Champion title at the Life at Work Awards. 

Navigating Competitive Landscape

As a leading player in the global semiconductor industry, Micron Technology operates in a fiercely competitive environment dominated by some of the world’s most prominent tech companies. 

Regionally, Micron Malaysia faces competition from major players operating in Malaysia’s thriving semiconductor ecosystem. Intel Corp, with its investments in Penang and the Kulim Hi-Tech Zone, is strengthening its local production capabilities. 

Meanwhile, companies like ams OSRAM AG and Ferrotec (USA) Corp are also contributing to regional semiconductor growth. 

Furthermore, the government anticipates increasing investments from Chinese high-tech firms, potentially introducing new competitors to the market. 

Globally, Micron Technolog y’s main global competitors include Samsung Electronics Co Ltd, SK Hynix Inc, Western Digital Corp and Intel. 

Samsung dominates the DRAM market with a 44% share, while SK Hynix, which acquired Intel’s NAND business in 2020, holds 30% of the market and has seen strong growth in AI-focused semiconductors. Western Digital commands 18% of the enterprise SSD market and Intel competes across multiple segments, including memory and storage. 

Despite the intense competition, Micron Technology’s emphasis on innovation, sustainability and talent development ensures that it remains at the forefront of the industry. 

Its ability to anticipate and meet market demands, particularly in AI-driven applications, positions it as a vital contributor to the global and regional semiconductor ecosystem. 

Recent Global Development 

Since the Covid-19 pandemic, Micron Technology has significantly expanded its operations and strengthened its role in the global semiconductor industry. 

In January 2025, the company announced a SG$7 billion (RM22.79 billion) investment to build a HBM advanced packaging facility in Singapore to meet growing AI data centre demands. 

Around the same time, its consumer brand Crucial launched the P510 SSD, offering high-speed Gen5 NVMe performance for gaming and applications. 

In December 2024, Micron received US$6.165 billion from the US government under the Chips and Science Act to boost chip production, creating an estimated 20,000 jobs in New York and Idaho. 

Despite missing revenue projections for late 2024, Micron Technology’s stock rose 18% in early 2025, driven by advancements in HBM and data centre demand. 

Earlier in April 2024, Micron secured a US$6.1 billion Chips Act grant for a semiconductor campus in New York and a fab in Idaho. This followed its 2023 release of HBM3E memory, which improved performance by 50% with speeds of 9.6 Gbit/s per pin. 

On the local front, reports emerged in June 2024 that Micron Technology is considering establishing HBM production capacity in Malaysia, where it currently operates chip testing and assembly plants. 

This potential expansion is aimed at capitalising on the growing demand for AI-driven memory solutions, solidifying Malaysia’s role in Micron Technology’s global operations. 

Although it has not released any figure on its target for 2025, Amarjit assured that Micron Technology is focused on developing market-leading products with superior capacity, speed and energy efficiency, in order to stay ahead in the “highly competitive” and “brutal” industry. 

In December 2024, Micron Technology reinforced its strategic position in the AI chip market with a US$2 billion investment in Penang to enhance its manufacturing capabilities. 

This investment reflects the company’s commitment to meeting the increasing demand for high-performance components essential to AI systems, a market that continues to see intensified competition. 

These developments underscore Micron Technology’s commitment to growth, innovation and maintaining its leadership in the global semiconductor industry during the post-Covid era. 

Global Vision, Local Commitment

As Micron Technology continues to invest billions globally in R&D and manufacturing, Malaysia remains a critical part of its vision. 

The company has announced plans for further expansions, including enhanced manufacturing capacity and increased R&D efforts globally and regionally. 

“Micron Malaysia embodies the perfect balance between global innovation and local impact,” Amarjit said. 

The company’s dual focus on technological excellence and social responsibility sets it apart in the semiconductor industry. 

“We are here to do business, but we are also here to make a difference,” he added. 

The visit offered a glimpse into how Micron Malaysia is shaping the future of technology while staying rooted in its values. 

From groundbreaking AI advancements to meaningful community initiatives, the company is not just driving progress — it is building a legacy. 

Source: The Malaysian Reserve

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