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Specialised statutory institutions have been set up as catalysts for technological innovation in industries that are considered to be vital for long-term growth and competitiveness of Malaysia.
MIMOS
The Malaysian Institute of Microelectronic Systems (or MIMOS, targeted at the electronic-based industry) was established in 1985 when Malaysia was aggressively developing its electronic-based industry, MIMOS Berhad remains a premier mission-oriented R&D corporate organisation. It strives to regularly develop indigenous technology and competencies in order to generate new products and services. The main areas for R&D activities include IT policies or strategies, multimedia technology and applications, computing, networking and data communications, and microelectronics. Facilities in MIMOS include the Computing Laboratory, Microelectronics Laboratory, Networking Laboratory, Real- Time Systems Laboratory, Software Laboratory, Web Laboratory and Security Laboratory. MIMOS, which acts as the secretariat to the National Information Technology Council (NITC), assists the Government in the implementation of its strategy to transform Malaysia into a knowledge society via a tri-sector partnership -public, private, and community interest groups.
MTDC
Malaysian Technology Development Corporation links researchers and innovators with venture capitalists and industrialists. It is a joint-venture company between the private sector and the Government. The objectives of MTDC can be summarized as "Research for Innovation for Applications". The main functions of MTDC are the promotion of commercialization of local research results, introduction of strategic technologies and the manufacture of products widely used as industrial inputs. Services performed by MTDC can be classified as financial and non-financial. The financial services include: Seed financing; Start-up financing; and, Expansion financing. financial services include: Technical consultancy services -"packaging" of research findings with feasibility studies and business planning, assistance to companies to absorb new technologies through technology transfer; and Technical support services -evaluation of equipment, implement productivity improvements, registration of patents and industrial design.
Malaysian Industry-Government Group for High Technology (MIGHT)
Launched in 1993, MIGHT is a non-profit company limited by guarantee. Its role is to carry out the process of prospecting and identifying business and investment opportunities for industry, to identify research priorities for public and private research initiatives, to mobilize and manage technology efforts (which are considered to be beyond the resources of individual organization), and, to provide strategic direction in the development of human resource capability. MIGHT brings together private sector companies and relevant government agencies in the form of smart partnership for "co-prosperity". It also serves as a platform for interaction between both the private sector and their public sector counterpart.
Malaysian Institute for Nuclear Technology Research (MINT)
The main objectives of MINT are to expand market and diversity applications of nuclear and related technologies, to achieve excellence in research, application and management of nuclear and related technologies, and to achieve self-financing targets. The focus of MINT is on the commercialisation of technology. The establishment of the MINT -Tech Park has enabled MINT to provide infrastructure and facilities to enhance commercialisation of R&D. It provides clients with access to its laboratories and centers of excellence. The Park aims:
Technology Park Malaysia (TPM)
Established in 1988 under the Ministry of Science, Technology and the Environment and corporatized in 1996, Technology Park Malaysia is one of the World's most advanced and comprehensive centers for research and development for knowledge-based industries. It is designed to propel Malaysia into the Information Age. The first phase of its development consists of 12 state-of-the-art buildings with specific functions while the second phase will include a Multimedia Centre which is a cluster of intelligent buildings to service the physical needs of multimedia companies so as to enable them to be service providers to the Multimedia Super Corridor, the rest of Malaysia and the world. The planned Phase 3 involves leasing of R&D lots to individual companies to establish custom-designed head offices, research facilities, test sites and planned future expansions.
The objectives of TPM are as follows:
Technologies that promise future potentials are the priorities of TPM. They include: information technology, advanced materials, aerospace advanced system, biotechnology, biomedical technology, environment and pollution, multimedia, software development, telecommunication, and others. As information technology is the technology that drives the Information Age, the majority of the companies located in TPM are in IT -related businesses. At the same time, opportunities exist for companies that provide support services to these companies. They include banking service, medical service and other types of services.
In terms of infrastructure, facilities and services, a comprehensive range of facilities can be found. They include resource centers, buildings and land that include innovation house, incubator center, incubator house and R&D lots. In addition, a center known as the Master Centre is created to provide services and consultancy in areas such as design, prototyping and manufacturing, engineering, technical consultancy, robotics and flexible manufacturing system. Since IT is the strategic focus of Malaysia, an IT and Multimedia Centre is established that houses R&D lab, multimedia lab, multimedia studios, data warehousing, and training and consultancy.
Multimedia Super Corridor
In 1996 a new urban zone (270 square miles), called Multimedia Super Corridor (MSC), designed specifically to enhance and develop a world-class multimedia industry was created. Physically, the MSC covers an area, 25 km by 50 km, stretching from Kuala Lumpur City Center to the new airport. In its periphery are Port Klang sea port, the international airport, the new civil service city (Putrajava) and the Multimedia University to its south.
MSC’s infrastructure includes the installation of fiber optic networks, roads, research and development centers, training academies and universities, and housing required to support a population of knowledge workers and their families. The MSC is Malaysia's first major investment in its technology-based future. The Government foresees the MSC functioning as a test-bed for use by Information Technology (IT) and Multimedia (MM) researchers from around the world. The outcome of the MSC, for Malaysia, is to make the next leap into knowledge-intensive industries through the development of people, infrastructure and applications.
As it did when initiating the electronics industry in Malaysia, the Government welcomes foreign investment of dollars and technical expertise in the MSC. Conceptually, the MSC is designed to attract the world's most advanced high-tech research and development companies in the fields of information technology and multimedia e.g. Microsoft, Sun Microsystems and the like. According to the latest published report, 110 companies have been awarded MSC status requiring a commitment to support research and development and physically reside within the MSC. Malaysian companies represent 36 percent of the participants, revealing that 64 percent of the companies are either foreign-owned or represent joint ventures with foreign companies. With respect to foreign involvement, the U.S. currently offers the most participants (11 solely-owned, 4 partnerships) with companies from Singapore, United Kingdom and Japan close behind.
The MSC's primary commodity is knowledge. End-users include all industries required to manage vast quantities of data and consumers ready to purchase goods and services online. The Government has identified several Flagship Applications designed to catalyze the MSC by offering an immediate market for goods and services generated by MSC status companies.
The primary benefits of participating in the MSC allow a company to employ unlimited numbers of knowledge workers, avoid Internet censorship, take advantage of income tax breaks, and import any equipment necessary for the research and development of innovative multimedia technologies. Ancillary to the MSC, Malaysia also offers a regional location ideally suited to penetrate Asian markets, a rapidly improving infrastructure, competitive cost of living, and a quality of life reflecting Malaysia's desire to achieve developed status by 2020.
Financial Incentives provided by the MSC include:
MSC-status companies may enjoy the following financial incentives:
Five-year exemption from Malaysia income tax, renewable to 10 years or a 100% Investment Tax Allowance (ITA) on new investments made in MSC Cybercities;
Duty-free importation of multimedia equipment; and
R&D grants for local small and medium-size enterprises (SMEs).
Non-Financial Incentives provided by the MSC include:
Unrestricted employment of foreign knowledge workers
Freedom of ownership;
Freedom to source capital globally for MSC infrastructure and the right to borrow funds globally; and
Other MSC benefits such as intellectual property protection and a comprehensive framework of cyberlaws, green environment protected by strict zoning.
Technology Transfer Unit
From the RM1 billion allocated for R & D in the 5th and 6th Malaysia Plan, 241 R&D projects have been identified as having potential for commercialization. Malaysia's move to expand its manufacturing base arose from a need to diversify its economy and reduce its dependence on its agriculture and resource-based sector. Malaysia imposed controls on the inflow of technology to ensure that such flows were orderly and beneficial to the economy. Under this policy, any agreement signed between a foreign company and its local partner had to be screened and approved by the government's Technology Transfer Unit.
The unit's role was to
MASTIC
MASTIC, is the Malaysian Science and Technology Information Center. It was commissioned in 1992 and is currently positioned within the Ministry of Science, Technology and the Environment (MOSTE). MASTIC is the national reference center for scientific and technological information. Its objectives include:
Some of MASTIC’s developments include:
National science and technology indicators through R&D and other surveys and reports
On-line S&T database, MASTICLink, which holds the largest single source of information available in the country on S&T experts, current research projects and facilities. Subscription to the link is free.
Library services, situated at the MASTIC premises, which is open to the public. It subscribes to local and international databases.
Promotional and coordinating services i.e. develops and recommends the adoption of consistent definitions and classifications, standards of data and information care and access. MASTIC is the lead agency for the Malaysian R&D Classification System to standardise classifications of Malaysian research and development.