Government subsidies have nurtured tech growth, a Semiconductor Industry Association webinar heard Thursday. Speakers agreed lack of high-skilled U.S. talent tamps down growth, even if Congress ultimately funds the Chips Act (HR-1390). MediaTek USA “is in a race to hire” to boost U.S. semiconductor growth, but the “talent pool we have to draw from is not as big and as large as we’d like,” said James Chen, associate vice president-product marketing. Chips are “pervasive in everything you do,” said Mike Hogan, GlobalFoundries senior vice president-general manager, automotive, industrial and multi-market. They are “really the new oil in the economy,” he said. The U.S. industry is “investing a lot” in R&D, and funding the Chips Act “is not a handout," he said: “This is reinforcing an industry that was born in the U.S., that can become prominent and world-leading in the U.S. again.” Hogan arrived at Texas Instruments around when Morris Chang left to start Taiwan Semiconductor Manufacturing Co. in 1985, he said. TSMC is now the world’s largest chip foundry, but Chang wouldn’t have “gotten it off the ground” had the Taiwanese government “not sponsored that initiative,” Hogan said. Public policy “plays a really critical role” in nurturing growth in the U.S. semiconductor industry, said Susie Armstrong, Qualcomm senior vice president-engineering. “It’s not the case that you have a bunch of rich U.S. or Taiwanese companies” looking for congressional handouts, she said: Qualcomm typifies most U.S. chip companies that rechannel a quarter-plus revenue and profit into R&D.
There’s rich historical precedent showing government subsidies can nurture private-sector tech growth, said panelists from some of the world’s biggest chip companies on a Semiconductor Industry Association webinar Thursday. But they agreed lack of high-skilled U.S. talent is a worrisome gating factor to growth, even if Congress ultimately votes to fund the Chips Act, as the industry vehemently wants.
If the FCC allows expanded federal use of nonfederal bands, federal users should be subject to the same technical, operational and procedural requirements as nonfederal users, the Satellite Industry Association said in docket 13-115 Monday. It cautioned that letting federal users into frequency bands shared among satellite services and upper microwave flexible use service could disrupt nonfederal operators. The commission adopted a Further NPRM in April asking about expanding federal use of some nonfederal fixed satellite and mobile satellite service bands (see 2104220036).
Global semiconductor sales increased 29.7% year over year in August to $47.2 billion, and were up 3.3% from July, reported the Semiconductor Industry Association Monday. “Chip shipments have reached record totals in recent months as the industry ramps up production to address continuing high demand,” said CEO John Neuffer. Year-over-year sales increased 33.5% in Europe, and were up 30.8% in China, 30.6% in the Americas, 28.2% in Asia Pacific and 23.8% in Japan.
The U.S. and EU should maintain “close coordination” and an “exchange of information” on semiconductor policy and strategy to bolster resilience of the semiconductor supply chains in both regions, blogged Jennifer Meng, Semiconductor Industry Association global policy manager, and Meghan Biery, the association’s director-global technology and security policy. “While geographic specialization has served the global semiconductor industry and its consumers well,” they said Tuesday, “it has also created potential vulnerabilities in the global value chain.” Governments in both regions are trying to introduce and implement policies to encourage investment in “high-risk gaps in the supply chains and to establish a more geographically diverse supplier base,” they said. The U.S. and EU should “jointly analyze the combined strengths and weaknesses” of those policies to ensure “each region’s respective incentive programs are open to the most globally innovative companies,” they said. Promoting information sharing and transparency about each region’s incentive programs can help build supply chain resilience, they said. The inaugural meeting of the U.S.-EU Trade and Technology Council convened in Pittsburgh beginning Wednesday with the goal of expanding and deepening trade and transatlantic investment ties, they said. Chips should top the U.S-EU trade partnership "agenda" in Pittsburgh, blogged Al Thompson, Intel vice president-U.S. government relations, and Fernando Loureiro, Intel senior director-government director, Europe, the Middle East and Asia. Expanding "advanced semiconductor capabilities" will offer Europe and the U.S. "their best chance to reduce dependency on imports from Asia and elsewhere and re-establish themselves as major producers of computer chips," they said Tuesday. The EU and the U.S. "used to be global leaders in the semiconductor industry," they said. "With political and industry forces aligning to reinstate that leadership, we look forward to seeing the progress made in Pittsburgh this week and beyond."
The U.S. and EU should maintain “close coordination” and an “exchange of information” on semiconductor policy and strategy to bolster resilience of the semiconductor supply chains in both regions, blogged Jennifer Meng, Semiconductor Industry Association global policy manager, and Meghan Biery, the association’s director-global technology and security policy. “While geographic specialization has served the global semiconductor industry and its consumers well,” they said Tuesday, “it has also created potential vulnerabilities in the global value chain.” Governments in both regions are trying to introduce and implement policies to encourage investment in “high-risk gaps in the supply chains and to establish a more geographically diverse supplier base,” they said. The U.S. and EU should “jointly analyze the combined strengths and weaknesses” of those policies to ensure “each region’s respective incentive programs are open to the most globally innovative companies,” they said. Promoting information sharing and transparency about each region’s incentive programs can help build supply chain resilience, they said. The inaugural meeting of the U.S.-EU Trade and Technology Council convened in Pittsburgh beginning Wednesday with the goal of expanding and deepening trade and transatlantic investment ties, they said. Chips should top the U.S-EU trade partnership "agenda" in Pittsburgh, blogged Al Thompson, Intel vice president-U.S. government relations, and Fernando Loureiro, Intel senior director-government director, Europe, the Middle East and Asia. Expanding "advanced semiconductor capabilities" will offer Europe and the U.S. "their best chance to reduce dependency on imports from Asia and elsewhere and re-establish themselves as major producers of computer chips," they said Tuesday. The EU and the U.S. "used to be global leaders in the semiconductor industry," they said. "With political and industry forces aligning to reinstate that leadership, we look forward to seeing the progress made in Pittsburgh this week and beyond."
The U.S. semiconductor industry maintained global leadership, with 47% revenue share, and “kept steady” its high R&D investment at $44 billion spent through 2020, reported the Semiconductor Industry Association Monday. But the industry “and its position as a global innovation leader face myriad challenges,” it said. “The industry continues to grapple with a widespread global semiconductor shortage brought on by unpredictable and increased demand resulting from the COVID-19 pandemic,” said SIA. It suffers from “decreasing share of global front-end fab capacity fueled by incentives and subsidies provided by foreign governments that far outstrip similar incentives in the U.S.,” it said. “America’s economy, national security, tech leadership, and response to COVID-19 are built on semiconductors,” said SIA CEO John Neuffer. “To remain competitive on the global economic stage” and promote more R&D and production “on U.S. shores,” Congress and the White House should “act swiftly” to fund the semiconductor provisions in the Chips Act, he said. The Senate has passed legislation that provides $52 billion in funding, and the House needs to “follow suit,” said SIA.
The U.S. semiconductor industry maintained global leadership, with 47% revenue share, and “kept steady” its high R&D investment at $44 billion spent through 2020, reported the Semiconductor Industry Association Monday. But the industry “and its position as a global innovation leader face myriad challenges,” it said. “The industry continues to grapple with a widespread global semiconductor shortage brought on by unpredictable and increased demand resulting from the COVID-19 pandemic,” said SIA. It suffers from “decreasing share of global front-end fab capacity fueled by incentives and subsidies provided by foreign governments that far outstrip similar incentives in the U.S.,” it said. “America’s economy, national security, tech leadership, and response to COVID-19 are built on semiconductors,” said SIA CEO John Neuffer. “To remain competitive on the global economic stage” and promote more R&D and production “on U.S. shores,” Congress and the White House should “act swiftly” to fund the semiconductor provisions in the Chips Act, he said. The Senate has passed legislation that provides $52 billion in funding, and the House needs to “follow suit,” said SIA.
Applied Materials posted record quarterly revenue of $6.2 billion, up 41% year over year, despite having to navigate “a challenging supply environment,” said CEO Gary Dickerson on an earnings call Thursday for fiscal Q3 ended Aug. 1. The COVID-19 “pandemic has accelerated the digital transformation of the economy and the adoption of advanced technology, creating a permanent structural shift for the industry,” but it also “disrupted global supply chains and logistics,” he said.
FCC-proposed two-tier regulatory fees for non-geostationary orbit (NGSO) systems (see 2012100078) are dividing the satellite industry, stirring controversy and leaving stakeholders uncertain if the agency might change course, many involved in the proceeding told us. They agreed it's not clear what the FCC might do next. Industry is lobbying bureau personnel and agency staffers.