Malaysia has developed its first domestic edge AI processor. Malaysian chip design company SkyeChip announced its MARS1000 processor at an industry event on Monday. While an edge processor is not as powerful as an advanced Nvidia chip, it still represents a significant technological milestone for the country. This development is part of Malaysia’s broader strategy to play a bigger role in the global AI race.
Malaysia already has a strong foothold in the chip manufacturing sector and has recently increased its efforts and investment in artificial intelligence. In late 2024, the country announced the creation of the Malaysian National AI Office. This new agency plans to focus on seven key areas, including the acceleration of AI adoption, the development of regulatory frameworks, and AI ethics.
Earlier in July, it was rumored that the Trump administration was considering restricting the sale of U.S. AI chips to Malaysia and Thailand. This potential move was an attempt to prevent the smuggling of these advanced chips to China. Although those rumors have not yet come to fruition, Malaysia’s Ministry of Investment, Trade and Industry announced a new rule on July 14. The regulation requires individuals and companies to obtain trade permits for U.S. AI chips. This means any party must notify the Malaysian government at least 30 days in advance if they plan to export or transship U.S.-made AI chips.