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  /  Latest News   /  Growing Electronics on Trees Will Now Help Curb the Semiconductor Crises!
Semiconductor

Growing Electronics on Trees Will Now Help Curb the Semiconductor Crises!

Global industries are dealing with worldwide semiconductor crises, but scientists have found a natural solution

A semiconductor is a small and essential microelectronics that is used for smartly connecting so many things such as cars, homes, appliances, and cities. The demand for these new necessities is insatiable. Industry experts and policymakers are currently looking for new ways to avoid weakening bottlenecks in future microprocessor supply chains. In the rise of more dependency towards technology, global industries are now suffering from widespread semiconductor crises. 

Microelectronics manufacturing in the United States is the worst ever, and that’s a big problem. You don’t want to be in a place where other countries can manage the valuable resources your country depends on. Just looking back at the oil crisis of the 1970s, we can see how quickly the world can turn upside down. And this is exactly what we are facing in the microelectronics industry.

One of the many consequences of the COVID 19 pandemic is a surge in consumer electronics sales while chip production slowed, especially in Asia, where much of the industry has changed in recent years. Today, many American companies rely on outsourcing these critical components to partners across the Pacific rather than manufacturing it themselves.

These microelectronics are at the heart of the world’s most advanced electronic systems. Without them, the world of innovation they enable will be impossible. This symbiotic dependency is a major concern. To that end, the Biden administration’s order will create a government-wide 100-day supply chain review focusing on semiconductor manufacturing and advanced packaging, critical minerals, medical supplies, and high-performance batteries.

 

Bringing home the silicon

In anticipation of the latest government actions, the Semiconductor Industry Association, including AMD, IBM, Intel, Nvidia, and Qualcomm, provided the President with a policy proposal in a letter. The group called on the government to provide semiconductor manufacturing incentives in the form of grants and/or tax credits, and large amounts of funding for basic and applied semiconductor research.

Some studies predict that  Asia will dominate more than 80% of the world’s semiconductor manufacturing supply by 2030. This is worrisome to US government officials, as advanced computer chips drive not only economic and scientific progress but also military power.

In October, the Pentagon awarded more than US$197 million to strengthen the US microelectronics industry base and support the construction of state-of-the-art facilities for large-scale design and construction. Through the RAMP (Rapid Assured Microelectronics Prototypes) Advanced Commercial Capabilities Project, the Pentagon wants to create reliable and restoring domestic chip sources for the needs of artificial intelligence, 5G communications, quantum computing, and self-driving cars. thinking about.

Meanwhile, Asian manufacturers are responding by exploring opportunities in the United States. Samsung Electronics recently announced plans to build a state-of-the-art semiconductor facility in the United States. According to the Texas Economic Impact Study, the proposed $ 17 billion project, called Project Silicon Silver, will create about 1,800 jobs in the first decade.

 

A delicate balance

However, changes in semiconductor policy need to be done with caution. The $ 5 trillion semiconductor supply chain is one of the most complex in the world. Manufacturing a single chip often requires more than 1,000 work steps and more than 70 border crossings to end customers. Policies that affect even a single organization or process can have a significant global impact.

Today, the United States still dominates the research and development of microprocessors, but certain major sub-sectors, especially photolithography tools (the most expensive and complex forms of semiconductor manufacturing equipment) and state-of-the-art chip fabs (especially third parties). There is no company in the foundry that manufactures chips ). Taiwan is dominated by state-of-the-art manufacturing, but South Korea also produces a significant amount of materials and some manufacturing equipment. With government support, China is making progress in both semiconductor design and manufacturing. In addition to large investments in manufacturing and capacity, the United States needs to accelerate investment in advanced semiconductor R & D to drive next-generation innovation and maintain US leadership in this critical technology. 

 

Rethinking supply chains

Semiconductors are a digital economy because most electronic devices often use many chips, not only central processing units but also cheaper ones such as display control, power management, 5G modem execution, etc. The backbone. Semiconductors enable smarter and safer transportation, better broadband access, cleaner energy, and more efficient energy grids while creating high-paying jobs for Americans and strengthening advanced manufacturing bases. The Semiconductor Industry Association said in a letter to President Biden.

Semiconductor Crises can occur in the coming months, but you need to plan for supply resilience, from R & D to manufacturing. IBM has helped strengthen the US microelectronics supply chain for many years, and current challenges are no exception. IBM has recently begun to lay the foundation for an ecosystem to secure and advance the US microelectronics supply chain, leading the next generation of domestic AI chips and system innovations to help meet future needs.

Ultimately, securing the microelectronics supply chain for the United States and its allies is a challenge we all must face now. This is the only way to ensure long-term sustainable performance in this important area.