Intel has officially entered the final phase of its "Project Pelican" advanced packaging complex in Malaysia. The company will invest an additional $200 million to complete the site, which is already 99% finished, as announced by Malaysian Prime Minister Anwar Ibrahim. Intel values the project at approximately $7 billion and aims to establish Malaysia as a major regional hub for its advanced packaging operations. This completion follows years of shifting plans and fluctuating demand for high-end packaging, which led Intel to scale back some earlier projects. The new Pelican building is set to significantly increase packaging throughput, potentially doubling the capacity originally planned for Intel's New Mexico campus.
The new Malaysia site will be equipped for die sort and die prep operations and will support both EMIB and Foveros packaging flows, enabling Intel to respond more quickly to customer needs. Intel is also expanding its EMIB packaging capabilities by partnering with long-time OSAT partner Amkor. This move is part of Intel's strategy to rapidly increase production volumes to meet unexpected market demand. According to earlier news , Intel has started EMIB assembly at Amkor's facility in Incheon, South Korea, to manage the surge in orders from large AI customers.