News: Microelectronics
20 May 2024
UK Semiconductor Institute announced to support key components of government’s Semiconductor Strategy
A new independent UK Semiconductor Institute will for the first time bring together government, universities and the private sector to support key components of the government’s National Semiconductor Strategy to grow the sector, which is backed by £1bn.
The aim is that, in the future, the Institute will be established as an independent organization tasked with ensuring that chip researchers have the tools and infrastructure needed to drive their work forward in these focus areas and convert their innovation into market-ready products, subject to final checks.
As further international semiconductor agreements are made, the Institute will also act as a coordinated entry point for technology businesses and international partners who want to work with the UK semiconductor sector to boost innovation, research and commercialization.
“The UK Semiconductor Institute will unify the semiconductor sector to focus our talented researchers on securing our status at the cutting edge of semiconductor science,” says Technology Minister Saqib Bhatti.
Building on a key focus of the Semiconductor Advisory Panel, the Institute will also bring industry together to boost the specialist skills needed to help grow the sector. This will build on £4.8m of backing for 11 skills programs across the UK announced earlier this year.
Announced one year after the launch of the UK’s National Semiconductor Strategy, the Institute will set its key focus areas in line with those identified by the Strategy, which identified UK strengths in compound semiconductor chips, design and R&D.
Since the launch of the National Semiconductor Strategy, the UK government has launched ChipStart, a pilot incubator to provide start-ups with the technical and business help that they need to help bring new products to market. It has also invested £22m in two Innovation and Knowledge Centres in Bristol and Southampton to help to bring new UK chip technologies to the global market.
The UK has also secured access to the €1.3bn Chips Joint Undertaking of Horizon Europe (the European Union’s scientific research initiative) and made sure that the UK Infrastructure Bank can invest its £22bn of financial capacity into semiconductor manufacturers. This enabled the bank’s £60m contribution to the latest funding round of Pragmatic.
After extensive industry engagement, the creation of the UK Semiconductor Institute is a step towards implementing the UK Semiconductor Infrastructure Initiative, which was announced in the National Semiconductor Strategy in 2023. It was a key recommendation in a report commissioned by the UK Government’s Department for Science, Innovation and Technology (DSIT) from the Institute for Manufacturing (IFM) and has the support of the Semiconductor Advisory Panel.
“The institute concept featured strongly in the IFM consultative study and it is seen as an effective way to create long-term momentum for our industry, help in engaging international partners and attracting investment in the sector,” comments Jalal Bagherli, co-chair of the Semiconductor Advisory Panel.
The UK Semiconductor Institute will bring together government, academia and industry to help secure areas of world-leading strength in semiconductor technologies of the future, notes Martin McHugh, CEO at CSA Catapult. “The UK Semiconductor Institute will ensure the UK has a strategic and coordinated approach to developing new technologies, improving skills and exploiting areas in which the UK has existing strengths.
One of these strengths is compound semiconductors, and we look forward to working closely with the UK Semiconductor Institute to further the advancement of this critical technology that will accelerate our route to net zero through electrification and provide a secure and resilient telecoms network for the future,” he adds.
“We were delighted to complete the largest European semiconductor venture raise in December 2023, co-led by UK Infrastructure Bank and M&G, with 70% of the round coming from UK investors,” says Pragmatic’s CEO David Moore. “This funding will accelerate continued expansion of our manufacturing capacity in the Northeast of England, taking volume from billions of flexible integrated circuits (FlexICs) to tens of billions per year. As a UK-based semiconductor company, servicing a global customer base, we welcome efforts to provide access to technology to foster the growth of emerging businesses, drive the expansion of the sector talent pool and promote international partnerships. The institute represents a significant opportunity for building out new infrastructure in support of areas where the UK can lead on the global stage, including advanced materials and disruptive, new approaches to semiconductor manufacturing at scale,” he adds.
“The establishment of a UK Semiconductor Institute is welcomed by techUK and other members of the Chips Coalition, including Global Tech Advocates and TechWorks,” says Julian David, CEO of techUK. “We have worked with UK government to develop the National Semiconductor Strategy and we look forward to turning that strategy into action,” he adds. “By bringing together government, universities and the private sector, the Institute will be pivotal in advancing R&D, skills development, and fostering international collaboration. This collaboration will secure a robust and innovative future for the UK’s semiconductor landscape,” he believes.
“Semiconductor technology is the single most important component of all transformative technologies such as AI, telecommunications, quantum and electrification. As economic success becomes more dependent on semiconductors, it is crucial that the UK develops a long-term vision and strategy from research into commercial product and supportive partnerships with international partners to enable homegrown innovation to become global success stories,” says Charlie Sturman of TechWorks. “As the UK trade body for Deep Tech and Semiconductors, Techworks is pleased to support the formation of this institute as a critical step in this direction.”
The independent UK Semiconductor Institute will provide a UK focal point of support for semiconductor companies at all stages of their growth, notes Janet Collyer, senior independent director at EnSilica, independent non-executive director at the Aerospace Technology Institute, chair of the board at Quantum Dice and at Machine Discovery. “This capability is particularly important in the key areas of attracting diverse talent to the sector, accelerating production revenue by shortening the transition from lab innovation to production volume manufacture — ‘the Lab to Fab’ — and securing ongoing investment on schedule for timely national expansion during the scale-up phase.”
Pragmatic officially opens UK’s first 300mm wafer fab
UK tech firms start commercial negotiations at SEMICON Korea
UK unveils National Semiconductor Strategy, with £1bn government funding
www.gov.uk/government/publications/national-semiconductor-strategy
