FusionAP Raises $2 Million Pre-Seed to Advance Semiconductor Packaging Technologies
FusionAP, a Malaysian semiconductor packaging technology startup, has raised $2 million in a Pre-Seed funding round co-led by Vertex Ventures Southeast Asia & India and Southern Capital Group, as the company accelerates its push into advanced semiconductor packaging solutions.
Founded by former executives and experts from Intel and TSMC, the company enters the market at a time of growing global pressure on semiconductor supply chains driven by rising demand for high-performance chips powering AI applications and advanced computing.
The company focuses on developing advanced 2.5D and 3D packaging technologies, alongside next-generation packaging solutions targeting global chip designers and semiconductor foundries.
Addressing Semiconductor Supply Chain Bottlenecks
The funding comes amid increasing industry focus on semiconductor packaging, which has become one of the sector’s most critical bottlenecks as chip architectures grow more complex and AI-driven computing requirements continue to expand.
FusionAP aims to build an OSAT platform for outsourced semiconductor assembly and testing services while providing a “geopolitically neutral” operational infrastructure capable of serving international customers amid ongoing industry tensions.
The company is led by Ooi Teng Chao, the first employee at Intel’s $7 billion advanced packaging facility in Malaysia, where he helped significantly scale operations. Co-founder Peter Chavart previously served as General Manager in Intel’s advanced technology manufacturing division, bringing extensive operational and technical expertise to the venture.
Expanding Engineering and R&D Capabilities
According to the company, the newly secured capital will be used to enhance engineering capabilities, strengthen operational integration, expand research and development activities, build intellectual property assets, and establish pilot production capabilities.
The startup has also received an offer for a matching research grant from Malaysia Science Endowment under Malaysia’s Ministry of Science, Technology and Innovation, reflecting growing governmental support for the country’s semiconductor ecosystem.
Building Malaysia’s Advanced Packaging Ecosystem
FusionAP is also playing a strategic role in Malaysia’s efforts to strengthen its position within the global semiconductor value chain.
The company is a founding member of the Malaysia Advanced Packaging Consortium alongside companies including SkyeChip, Inari Amertron, Pentamaster, and NSW Automation, with the goal of building a localized ecosystem for advanced chip packaging technologies.
Chan Yip Bang from Vertex Ventures Southeast Asia & India stated that advanced packaging technologies have become both the semiconductor industry’s biggest bottleneck and one of its strongest performance enablers, adding that FusionAP’s experienced team positions the company to build a globally competitive platform from Southeast Asia.
The investment comes as countries across the region compete to attract semiconductor-related investments, while Malaysia seeks to strengthen its role as a regional hub for semiconductor manufacturing, packaging, and advanced technologies.
