ChipX targets AI data center market with photonics and power chips as Malaysia fab plans advance

ChipX is building a wafer fab in Malaysia to produce silicon photonics and GaN-on-SiC power chips for AI data centers. The startup has not disclosed a timeline or production targets.

Published on: Apr 09, 2026
ChipX targets AI data center market with photonics and power chips as Malaysia fab plans advance

ChipX plans Malaysia fab to produce AI data center chips

Semiconductor startup ChipX is moving to commercialize silicon photonics and high-voltage power chip technologies for AI data centers, with plans to build a wafer fabrication facility in Malaysia, according to company executives.

The startup, led by CEO Chinmoy Baruah, is targeting the AI infrastructure market where demand for specialized semiconductors continues to grow. Silicon photonics chips handle data transmission at high speeds, while power semiconductors manage voltage conversion in server systems.

Malaysia as manufacturing hub

Malaysia represents a strategic choice for fab operations as the country positions itself as an alternative manufacturing location outside traditional semiconductor clusters. The facility would focus on 8-inch wafer production for GaN-on-SiC (gallium nitride on silicon carbide) technology, which improves efficiency in power conversion.

ChipX joins other chipmakers evaluating Malaysia for specialized semiconductor manufacturing. The decision reflects broader supply chain diversification efforts among semiconductor companies seeking alternatives to established fabrication centers.

Market timing and competition

The startup's push into commercialization comes as data center operators accelerate spending on AI infrastructure. Power efficiency and data transmission speed have become critical differentiators as companies build out AI server capacity.

Multiple chipmakers are developing competing solutions in both photonics and power management. Success depends on securing customers among hyperscalers and data center operators who evaluate new suppliers carefully.

ChipX has not disclosed timeline details for the Malaysia facility or production volumes.


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