Media Center

Articles On SilTerra
16 Aug 2016
Promise of Integrity

On 16 August 2016, Intel Corporation, B. Braun, Keysight, Motorola Solutions and SilTerra collaborated in a 'Promise of Integrity' event to spearhead an initiative on ethics and integrity. This marked the beginning of a joint effort to lead the way in upholding the highest standards of integrity.

The five participating companies share the same belief, that a "strong culture of integrity is a bedrock of success for the business community," as expressed by Anna Maria Braun, Asia Pacific President of B. Braun. The 'Promise of Integrity' "will serve as a compass that guides the actions of our employees and business partners, ensuring consistent and steadfast integrity as we build trusted relationships in our business community," explains Robin Martin, Corporate Vice President of Intel.

Leaders of the 5 companies with their signed 'Promise of Integrity' plaques at the event that drew participation from 90 suppliers and industry representatives. From left: Robin Martin (Intel), Anna Maria Braun (B. Braun), Chan Keng Cheong (Keysight), Dr. Hari Narayanan, (Motorola Solutions),and Firdaus Abdullah (SilTerra)

At the heart of this collaboration, this pledge is a concrete expression to continually abide by the highest ethical business practices. In this leadership role, the companies aim to transform the local ecosystem by working with their supplier base and other stakeholders to proliferate best ethics practices. As Chan Keong Cheong, Vice President of Global Procurement & Materials at Keysight expresses, "This will create a conducive business environment, elevating the local ecosystem to compete globally."

Motorola Solutions, like its other partners in this endeavor, is "strongly committed to doing business the right way, both legally and ethically - with [their] customers, partners, colleagues, and with the world at large." says Dr. Hari Narayanan, Managing Director of Penang Operations.

Since establishing this platform at the event in August, the initiative has already attracted interest from companies seeking to join this effort. Firdaus Abdullah, CEO of SilTerra extends a sincere invitation to the ecosystem, "Our hope is that others will join us and embrace this initiative that helps strengthen the pillars of a sustainable economy."

Companies and individuals who wish to learn more about the Promise of Integrity may contact SilTerra's Corporate Development & External Affairs Department.

13 Feb 2013
SilTerra in Global Fast Lane

By Rupa Damodaran, NST
Khazanah Nasional Bhd's semiconductor wafer foundry SilTerra Malaysia Sdn Bhd has to work overtime these days with its plant running at maximum capacity to meet growing global orders]

"Our jobs are completely sold out for the first and second quarters of this year," says chief executive Dr Kamarulzaman Mohd Zin, adding that with demands thrice its capacity, SilTerra is now boot-strapped to the fast lane.

It will soon be getting jobs from Tier 1 electronic companies for this year and more Asian giants are likely to hook up with its Kulim Hi Tech Park plant as they divert their supply chain ex-China.

Purchase orders are coming in for the chips which are already found in most of the top brand mobile applications, particularly in the display drivers of smart phones.

Google Nexus 4, which is tagged as one of the world's best smart phones, LG Optimus G or the Amazon Kindle e-reader tablet , all have touch controller , with the SilTerra chip.

SilTerra, which has spread its wings in the global tech scene, is today more well-known in Taiwan and China and the giants of the industry worldwide, than in Malaysia.

Malaysia has the attributes to be a sustainable semiconductor fabrication hub for mature technology market (0.22 to 0.09 micron) and it is cost competitive compared to Taiwan, Korea South Korea and Singapore.

Also, the US IDMs and European foundries are keen to explore extending their footprints in Malaysia.

Things are already looking up for SilTerra with negative cash flow tides having been reversed sharply over the past five years.

"We have been operating profitably for five years now, running in a sustainable manner," said Kamarulzaman, in an interview here last week.

Annual operating profit is around RM50 million per year and this can be sustained for at least three more years with minimal capital requirements.

But despite its flourishing profits curve, Kamarulzaman admits that he gets flustered by the negative public perception SilTerra is often placed in.

Often mistaken for the others in the assembly and test and product assembly, which describes the traditional electrical and electronics (E&E) industry in Malaysia, SilTerra actually stands in at the top end of an industry where the gestation period can take up to a decade before one can enjoy positive returns.

But that is now all in the past as SilTerra has been kept very busy, having finally found its niche in the small panel display drivers (below five inches). However, it is continuously facing challenging demands for high and greater resolution as it keeps up with the latest technology.

"It is a challenging industry but one that will always look north, what with electronics already embedded in our lives , from telecommunications, healthcare to transportation," Kamarulzaman said.

SilTerra is ranked number 15 (based on revenue) in the global ranking of leading pure-play foundries, where it serves the mature tech segment of the market valued at US$30 billion (RM90 billion) per year.

One of the reasons for SilTerra to be mired in difficulties in its early years was its attempt to be in the race with the global players.

The big four - highly-capitalized TSMC (Taiwan), Global Foundries (US), UMC Group (Taiwan) and SMIC (China) - control 75 per cent of the global market share, leaving companies like SilTerra to depend on "sustainable scraps" which it considers as substantial.

Cumulatively, SilTerra has exported RM5 billion worth of products since 2001, out of which 75 per cent has local value-added.

The Economic Transformation Programme (ETP) recognizes that aspect and Kamarulzaman also pointed out that SilTerra has already achieved many of the targets envisioned by ETP.

"Local value-adding to its annual revenue of RM500 million to RM600 million is measured at 70 per cent, far higher than the overall E&E industry average of 25 per cent of the overall electrical and electronics (E&E) industry."

On the prospects of listing SilTerra, Kamarulzaman said it will likely take place once the debts are cleared.

The company has had cumulative losses totaling RM7.3 billion for the 10 years up till 2011 which was one of the main reasons it has been placed in bad light.

"But have a look at the numbers -as 79 per cent is due to depreciation and impairment plus financing costs (due to initial hefty borrowings), and it has nothing to do with our operations," he said, adding that the company can turn around into profits.

Revenue totaled RM4.8 billion to date while the EBIDTA (Earnings Before Interest, Taxes, Depreciation and Amortization), which was negative in the initial three years, turned positive for seven years out of the 12 years.

With the full redemption of the sukuk come June 2014, SilTerra is expected to show profits.

To Kamarulzaman, the Kulim plant, which is estimated to be valued at RM4.3 billion, can continue to operate for another 20 years.

30 Jan 2013
Visit By KERC and ASTSA of Japan

On 30th January 2013 we received a delegation from the Kyushu Economic Research Centre (KERC) & Asia Semiconductor Trading Support Association (ASTA) Japan. There were 10 people from this delegation from Japan.

The request for the visit was made through MIDA and KTPC.

They were in Kulim Hi-Tech Park for a Business Seminar & Business Matching session as well as to visit several companies in the semiconductor industry, SilTerra being one of them, to explore business opportunities and partnership with Malaysian companies.

About KERC & ASTSA :

KERC was established to engage in research on the socio-economic conditions of the Kyushu region, and also to propose strategies and guidelines for Kyushu 's future development. KERC's main aims are to undertake contract research committed by the central and local governments and offer information services to member institutions and the people of Kyushu

ASTSA is an association which comprise of members from the semiconductor sectors and the objective is to help Kyushu semiconductor companies to connect with international companies by means of technology exchange and build up international alliance.

29 Nov 2012
SilTerra conferred award by Malaysian Scientific Association (MSA)

On 29th November 2012, SilTerra was conferred an award by Malaysian Scientific Association (MSA) in recognition of SilTerra's outstanding contribution to Science & Technology.

Dr Kamarulzaman Mohamed Zin, CEO of SilTerra, received the award presented by the Deputy Minister of Science, Technology & Inovation (MOSTI), YB Datuk Haji Fadillah Bin Haji Yusoff, during the Malam Anugerah Sains & Teknologi 2012 at Kelab DiRaja Selangor, Dataran Merdeka, Kuala Lumpur .

About MSA:

The Persatuan Ahli-Ahli Sains Malaysia , Malaysian Scientific Association (MSA) is the premier science and technology organisation in Malaysia . The Association was established in 1955, dedicated to the promotion and advancement of Science and Technology (S&T) in Malaysia . MSA is recognised by the Malaysian Government Ministries charged with the development of S&T. Membership is opened to all qualified persons and scientists residing or working in Malaysia .

The Objectives of the Association are as follows:

  • To promote the advancement of science and technology in Malaysia and disseminate scientific knowledge;
  • To stimulate and encourage the understanding and study of scientific and technological and socio-economic problems, in particular those of national interest.
  • To coordinate activities of professional scientific bodies, promote greater inter-disciplinary cooperation and encourage simultaneous development of the different scientific disciplines.
  • To represent scientific opinion in Malaysia and act as an independent professional body.
  • To maintain liaison with scientists internationally and to cooperate in international scientific programmes.
  • To recognise outstanding contributions to the advancement of science.

Attached are pictures of the award that was presented.

30 Oct 2012
National Safety And Health Award

SilTerra has been awarded National Safety and Health award 2012 for the electrical and electronic sector on 30 October 2012 at the ceremony held in Putrajaya convention center.SilTerra Chief Executive Officer, Dr Kamarulzaman received the award given by Minister of Human Resources, Dr S Subramaniam.

National Safety and Health award is an annual event organized by Department of Safety and Health Malaysia (DOSH) to recognize company for implementing good safety management system and achieve good safety records.

SilTerra has implemented a few safety and health systems that impressed the DOSH auditors such safety and health element in Key Result Area, online system for reporting near misses or potential accident and online tracking issues raised during audits, incident actions item or modification of systems to ensure all actions items are closed.

This recognition shall drive SilTerra effort to maintain and continual improvement of the safety and health standard.


11 Sep 2012
USM To Collaborate With SilTerra In Green-technology Based Projects



GEORGE TOWN, Sept 11 (Bernama) -- A memorandum of agreement (MoA) was signed today between Universiti Sains Malaysia (USM) and SilTerra (M) Sdn Bhd to pave the way for greater co-operation and enhancement in joint research activities.

"Joint collaboration work between SilTerra and the Environment Technology Programme, School of Industrial Technology, USM began in 2008.

"The collaboration work initially started off with invited lectures by Facilities Manager of SilTerra on waste water management and treatment, and career talk to students," USM vice-Chancellor Prof Datuk Omar Osman told reporters after the signing ceremony , here.

SilTerra was represented by its chief executive officer Dr Kamarulzaman Mohamed Zin.

Omar said the collaboration work between USM and SilTerra was followed by an internship programme and some research work performed by a final year student based on SilTerra's waste water, which was later extended to become and MSC research project.