Electronic Components

UK Semiconductor Strategy: New Semiconductor Institute

July 9, 2024
Electronic Components

UK Semiconductor Strategy: New Semiconductor Institute

July 9, 2024

The Department for Science, Innovation and Technology (DSIT) has unveiled a new Semiconductor Institute. This initiative aims to bring together key stakeholders across government, industry, and academia to promote innovation and investment within the semiconductor sector.

A Hub for Innovation and Investment

The institute is designed to be entity independent from government, serving as the "voice of industry." Its main goal is to act as a single point of contact to promote the semiconductor sector to investors and attract foreign investment into British research expertise. As semiconductor agreements are made, the Institute will act as a coordinated entry point for technology businesses and international partners who wish to collaborate with the UK's semiconductor sector. This aims to enhance the UK’s innovation, research, and commercialisation.

Former Under Secretary of State for DSIT, Saqib Bhatti, emphasised the importance of semiconductors, stating that they "underpin all the technology that keeps our economy moving." The initiative seeks to grow the industry by leveraging the strengths of the British chip sector. By engaging researchers in semiconductor science and boosting necessary skills, the Institute aims to help expand the sector.

Financial Support for Growth

The launch of the Semiconductor Institute is accompanied by financial backing. Alongside the Institute, the government committed £4.8 million in early 2024 to support 11 semiconductor skills programmes across the UK. This investment is intended to cultivate a skilled workforce for the semiconductor industry.

Building on the National Semiconductor Strategy

The Semiconductor Institute's announcement follows the launch of the National Semiconductor Strategy one year ago. The Strategy was originally designed to strengthen the UK's semiconductor sector, enhancing research and development (R&D), design and intellectual property (IP), and compound semiconductors. In the long-term, it aims to stimulate growth, create jobs, and elevate the UK's international standing in the semiconductor field.

Key Objectives and Investments

The National Semiconductor Strategy outlines several key objectives:

Grow the Domestic Sector: Strengthen the UK's internal capabilities in semiconductor technology.

Mitigate Supply Chain Risks: Address vulnerabilities in semiconductor supply chains.

Protect National Security: Ensure that semiconductor technologies are secure and reliable.

To achieve these objectives, the government plans to commit up to £200 million to the semiconductor sector between 2023 and 2025, with a further £1 billion investment over the next decade. This financial commitment is intended to drive innovation and support the UK's semiconductor industry.

Supporting Innovation and Start-Ups

Since the strategy's introduction, several initiatives have been launched to support the semiconductor industry. One such initiative is ChipStart, a pilot incubator designed to provide start-ups with technical and business assistance. Additionally, the government has invested £22 million in two Innovation and Knowledge Centres (IKCs) in Bristol and Southampton. These centres are focused on advancing research and commercialisation efforts within the semiconductor sector. The two new IKCs will join the four currently active Centres around the UK.

A Collaborative Effort

The establishment of the Semiconductor Institute represents a new development in the UK's efforts to support its semiconductor industry. By fostering collaboration between government, industry, and academia, and by attracting investment, the Institute aims to drive innovation and growth in the sector. Building on the National Semiconductor Strategy, this initiative seeks to enhance the UK's position in semiconductor technology.

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