Malaysia is well positioned to benefit from the global AI-driven semiconductor upcycle through advanced packaging, AI infrastructure, semiconductor equipment demand and supply-chain diversification, said Apex Securities Bhd. The research house noted that E&E exports rose 39.5 per cent year-on-year in January 2026, supported by rising semiconductor investments under the National Semiconductor Strategy. Apex Securities said Malaysia currently handles an estimated 13 per cent of global semiconductor assembly, testing and packaging activity, and that the National Semiconductor Strategy has attracted more than RM63 billion in approved semiconductor-related investments, aiming to double Malaysia’s share of the global semiconductor market from about seven per cent to 14 per cent by 2029. The research house maintained its “overweight” call on the Malaysian technology sector but advised investors to become increasingly selective, stating that remaining upside is likely concentrated in companies with clear earnings catalysts, robust order visibility and proven execution.