Oman advances plans for national semiconductor industry

Zawya

12 hours ago

MUSCAT: Marking a key step in its bid to penetrate the global trillion-dollar semiconductor industry, Oman is preparing to commission an international consultant to chart a strategy for developing a comprehensive ecosystem to support the growth of a domestic semiconductor sector.
On Wednesday, June 11, 2025, the Ministry of Transport, Communications and Information Technology – which is spearheading the establishment of this sector as part of the broader digital economy – invited qualified consultants to bid for an advisory services contract linked to this initiative.
In addition to formulating a blueprint for the establishment of an integrated ecosystem around semiconductor production, the selected consultant will also be required to assist in the development of a Centre of Excellence for Semiconductors and Electronic Chips in Oman.
The consultant's scope of work encompasses, among other requirements, the creation of a master plan and a road map for building an end-to-end semiconductor ecosystem in the country. As part of its remit, the consultancy firm will also study and provide recommendations on the following key areas: Training & Skills Development, Research & Development, Partnership and Network Development, Facility Design and Equipment Planning, and Operational and Financial Sustainability.
Additionally, the company will be responsible for overseeing the rollout of the Centre of Excellence, which will be tasked with attracting FDI into the semiconductor production value chain, facilitating the inflow of technological know-how, creating opportunities for semiconductor design and testing, enabling digital innovation in this strategic industry, and supporting localisation and job creation.
Already, the building blocks of a nascent semiconductor sector are being put in place in Oman.
Earlier this year, the Omani government signed a Memorandum of Understanding (MoU) with AONH Private Holdings, a leading semiconductor manufacturer, to explore the establishment of an advanced AI-based semiconductor chip manufacturing plant in Salalah.
The proposed facility is expected to contribute to the development of national expertise in semiconductor design and manufacturing, create new business opportunities for Omani youth, and attract international talent from leading semiconductor nations such as Taiwan, South Korea, and Japan. This initiative will support the transfer of global expertise and the localisation of advanced semiconductor technologies in Oman.
Sovereign wealth fund Oman Investment Authority is also playing a pivotal role in the development of this vital sector. Its ICT investment arm, ITHCA Group, has acquired a strategic stake in the US-based semiconductor design and services company GSME, which has established an advanced chip design and development lab in Muscat. GSME Oman is supporting the training of a national cadre of young Omanis, who have already successfully designed the first Omani microchips.
Also boding well for the growth of a competitive semiconductor industry in Oman is a 100,000-tonnes-per-annum capacity polysilicon project currently under construction at Sohar Freezone, at a cost of $1.6 billion. Promoted by Oman-based United Solar Holding Inc, the project is expected to supply critical raw materials for, among other industries, semiconductor manufacturing in Oman.
Over the past two years, a number of major international players have expressed interest in Oman's potential as a hub for semiconductor production. In 2023, the Omani government hosted a high-level delegation from South Korea's SK Hynix Inc, the world's second-largest semiconductor company.
Separately, a delegation representing four prominent companies from Taiwan's semiconductor sector – ULVAC Taiwan Inc, MSScorps Co, Ltd, eMemory Technology Inc, and Global Unichip Corp – visited Oman last December.
Oman is preparing to commission an international consultant to chart a strategy for developing a comprehensive ecosystem to support the growth of a domestic semiconductor sector
2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (Syndigate.info).