Texas Instruments (TI) has announced the opening of its newest state-of-the-art assembly and test facility, TIEM2, located in Melaka, Malaysia. This latest investment marks a significant milestone in TI’s long-term strategy to expand internal manufacturing capacity and strengthen supply chain resilience.
The new six-level factory spans more than 900,000 square feet and is now fully operational. Connected to TI’s existing assembly and test factory in Melaka, the combined facilities now provide more than 1.4 million square feet of manufacturing space dedicated to transforming processed semiconductor wafers into finished chips. The factory is designed to bump, probe, assemble, and test billions of analog and embedded chips annually for a wide range of applications, including automotive systems, smartphones, industrial automation, and data centers.
Representing a potential investment of up to MYR 5 billion, the TIEM2 facility is expected to support up to 500 local jobs once fully ramped. The factory is part of TI’s broader initiative to bring 90 percent of its assembly and test operations in-house by 2030, reinforcing its long-standing commitment to internal manufacturing and operational control.
To mark the official opening, TI hosted Melaka Chief Minister Datuk Seri Utama Ab Rauf Yusoh and other dignitaries for a tour of the site.
“Texas Instruments’ investment in Melaka is a strong endorsement of our state’s potential,” said Datuk Seri Utama Ab Rauf Yusoh. “When fully operational, this facility will generate hundreds of new high-quality jobs and contribute significantly to Melaka’s industrial and technological growth.”
Subbah Rao, vice president and country managing director for Texas Instruments Malaysia, added:
“For more than 50 years, TI has built its presence in Malaysia, and this new factory underscores the talent and expertise of our team here. Our Melaka expansion strengthens our internal manufacturing capabilities, enabling us to reliably deliver products to our customers when and where they need them.”
TI has a global footprint of 15 manufacturing sites, including wafer fabs, assembly and test factories, and bump and probe operations. The addition of this new facility enhances TI’s manufacturing ecosystem in Malaysia, complementing existing operations in both Melaka and Kuala Lumpur and enabling greater scalability and operational efficiency.
TIEM2 was also designed with sustainability in mind and is on track to achieve Leadership in Energy and Environmental Design (LEED) Gold certification. Advanced factory equipment helps minimize energy, water, and waste consumption per chip, aligning with TI’s commitment to responsible manufacturing practices.
With this expansion, TI continues to build on its decades-long legacy in Malaysia, advancing innovation and supporting customer demand across global markets.
Original – Texas Instruments