Rushdi Abdul Rahim
President and Chief Executive Officer,
Malaysian Industry-Government Group for High Technology
Transportation and mobility have been the mainstay of MIGHT’s developmental focus since its inception in 1993. MIGHT has cast its net wide: branding efforts of Malaysia’s automotive through the Formula 1; expansion of the aerospace industry and its multi-billion-dollar contribution to the nation’s economy and driving strategic development goals for the maritime industry through the National Maritime Industry initiative.
Why does MIGHT have initiatives related to the transportation sector?
As an organisation focused on high technology, MIGHT views transportation as a prime example of the convergence of multiple advanced technologies. Whether it is aerospace, maritime, automotive, or rail, each mode of transportation integrates various technological elements such as advanced communication systems, innovative materials, sustainable energy solutions, and sophisticated electrical and electronic systems. This includes cutting-edge sensor networks, real-time data processing units, and integrated control systems that enhance safety, efficiency, and connectivity. This integration exemplifies the dynamic nature of high-tech advancements and their applications across diverse industries.
Smart partnerships serves as the bedrock of these initiatives. These were initially drawn along industry lines in the form of ‘Interest Groups’ in a variety of industries including aerospace, automotive, maritime, telecommunications, and pharmaceuticals, among others. Over the years however, the advent of Industry 4.0 and digital transformation have resulted in a blurring of industry lines. Technologies are no longer strictly sectoral; rather they have become increasingly integrated across industries. This convergence in turn further transformed industry dynamics leading to greater technology interconnectivity and versatility.
The Global Positioning System (GPS) is a case in point. Initially developed for military use, it quickly gained traction across multiple industries and is now a staple in the automotive, drone, logistics and smartphone applications. The same can be said for composite materials. What started out as technology for the aerospace sector to make aircraft lighter and stronger, they are now critical for fuel-efficiencies in motor vehicles and affect both durability and efficiency in sports equipment and wind turbines.
The list goes on. Lithium-ion battery technology, originally slated for portable electronics, now powers electric vehicles. More recently, space technology, especially satellite communication, has crossed over from space mission support to becoming a critical technology in internet connectivity and global telecommunications.
Leveraging on local strength
In making an effective leap into the realm of high-tech, it is worth looking at what is ripe for the picking. Malaysia’s industrial sector has several distinct areas of comparative advantage, with the Electrical and Electronics (E&E) industry leading the pack. Over the last five decades, the sector has grown from an eight-company component manufacturing industry known as the 8-Samurai in the 1970s to a major worldwide player today.
The only logical next step would be to leverage this capacity and know-how into new high-growth, high-value areas. The benefits are wide-ranging. Apart from the obvious increase in earnings through merchandise production and trade, such investments create high-tech jobs and enhance areas of strategic interests including national defence, data sovereignty and communications security, and overall strategic capabilities.
In Malaysia, air mobility, avionics, and space represent the new frontiers of high technology. The significance of these sectors cannot be stated enough. From climate tracking to atmospheric changes, border controls, and communications and connectivity, the economic and societal impacts are critical to contemporary human civilisation.
The space industry ecosystem is equally vast. It includes satellite makers, launch vehicle manufacturers, service providers, government security agencies, and research facilities. Drawing upon the entire network of possible collaborators and leveraging on the breadth and depth of knowledge across the different fields, organizations might pursue a number of opportunities, particularly by new production innovation and establishing new business models.
The smart partnership approach long adopted by MIGHT has time and again proven effective for this purpose. MIGHT’s members comprise a diverse array of stakeholders, each bringing a unique perspective in fostering dynamic responses and shaping competitive futures. The formation of the Malaysian Space Industry Consortium (MASIC), for example, and collaboration with international players such as Turkish Aerospace (TUSAS), elevates Malaysia’s space game and enhances its positioning in the global space industry landscape.
In the emerging field of Advanced Air Mobility (AAM), while the potential is enticing, challenges remain. In this regard, MIGHT works closely with FUTURISE, a national regulatory sandbox to address issues on funding, institutional and infrastructure challenges, regulatory and policy concerns, skills and talent development, and technological innovation. Looking at a twenty-year horizon, this collaboration explores various scenarios of AAM in Malaysia, providing a comprehensive overview of
AAM initiatives in the country. It examines the challenges faced by stakeholders in developing the AAM sector and offers forward-looking recommendations for integrating this issue into future national development agendas.
High-skilled, high-income jobs of the future
In the final analysis, the nation and its populace must benefit from all development endeavours. According to the 2023 Future of Jobs Report by the World Economic Forum, technologies are anticipated to have a positive impact on the composition and creation of jobs in the years ahead. The success of Malaysia’s continued quest to be a high-tech, high-income nation hinges on a broad-based increase in techno-based capabilities and the corresponding higher-income jobs across a wide array of specialisations. Similar jobs are expected to be created, including those for avionics technicians, drone pilots, data analysts, and others, across industries such as agriculture, construction, and environmental monitoring.
As previously stated, MIGHT is currently engaged in talent development in partnership with TUSAS. This is undertaken jointly with the Consortium of University Malaysia (CMU), TUSAS Malaysia, and TUSAS Akademi with the common aim of opening new frontiers for industry development and expanding involvement in the aerospace technology value chain. This will ideally cultivate a culture of lifelong learning, guarantee the relevance of the curricula, and ensure a consistent supply of qualified labour to the relevant industries.
Beyond its involvement in space technology, MIGHT also engages in strategic partnerships with other countries, including Indonesia, Qatar, Spain, the United Kingdom, and South Korea, across a wide range of sectors including healthcare, food security, energy, and digital technology. These collaborations have thus far led to the transformation of ideas into proof-of-concepts, and we expect further significant advancements in the near future.
In this high-tech race, every nation is implementing its own strategies to maintain a competitive edge. Malaysia must also remain in a state of constant vigilance and take aggressive measures to foster and develop talent and innovation to secure its position in the high-tech game. MIGHT is dedicated to ensuring that Malaysia not only participates, but also emerges triumphant in this high-stakes competition, as the future belongs to those who are best prepared.
