The UK semiconductor industry has recently received two major investments, with millions of pounds being spent on domestic production and innovation projects. These plans are part of the UK’s ongoing effort to secure its semiconductor supply chain and strengthen its share of the global market.
In late September the UK Ministry of Defence (MoD) purchased a semiconductor factory in Newton Aycliffe, County Durham, a deal allegedly worth around £20 million. The facility will be named Octric Semiconductors UK.
Formerly owned by a US-based manufacturing firm, the facility is the only UK-based plant that produces gallium arsenide (GaAs) semiconductors. These chips are currently used in military technologies like fighter jets. Due to their high electron mobility and resistivity, GaAs semiconductors are often used in high-speed and optoelectronic devices such as:
• Radars and satellite communications
• Microwaves
• LEDs and tachometers
The acquisition will reportedly save around 100 skilled jobs and will support the UK Armed Forces’ supply chain. Beyond military uses, these components also play an important role in clean energy technologies and telecommunications.
At around the same time in September, Innovate UK announced it had invested £11.5 million in 16 different projects to support the domestic semiconductor industry.
Some key projects include:
• A graphene research and fabrication foundry.
• Researching automation to improve wafer-fab efficiency.
• Development of advanced integrated circuit interposers for better packaging solutions.
Investment in domestic semiconductor manufacturing is increasing as countries aim to reduce reliance on international supply chains and support national economic growth. The UK has made its goals clear through the introduction of the National Semiconductor Strategy last year.
While Cyclops Electronics is a proud UK-based business, we offer global reach and local supply thanks to our multiple international offices and warehouse facilities.
Our customers benefit from an easy online part search, fast sourcing and delivery, and diligent quality assurance. Contact us today to see how we can support your electronic component sourcing.
