{"id":877685,"date":"2025-12-16T22:15:45","date_gmt":"2025-12-17T04:15:45","guid":{"rendered":"https:\/\/newsycanuse.com\/index.php\/2025\/12\/16\/a-call-to-action-to-rebuild-the-uks-semiconductor-industry\/"},"modified":"2025-12-16T22:15:45","modified_gmt":"2025-12-17T04:15:45","slug":"a-call-to-action-to-rebuild-the-uks-semiconductor-industry","status":"publish","type":"post","link":"https:\/\/newsycanuse.com\/index.php\/2025\/12\/16\/a-call-to-action-to-rebuild-the-uks-semiconductor-industry\/","title":{"rendered":"A call to action to rebuild the UK\u2019s semiconductor industry"},"content":{"rendered":"<div id=\"content-header\">\n<h2>The UK has a chance to shape the next era of chip technology. The challenge is turning pockets of excellence into national strength<\/h2>\n<\/div>\n<div id=\"content-center\">\n<ul>\n<li><i data-icon=\"1\"><\/i><\/li>\n<li><i data-icon=\"2\"><\/i><\/li>\n<\/ul>\n<div id=\"contributors-block\">\n<p><span>By<\/span><\/p>\n<ul>\n<li>\n\t\t\t\tGuido D\u2019Hert<\/li>\n<\/ul>\n<p>\n\tPublished: <span>12 Dec 2025<\/span>\n<\/p>\n<\/div>\n<section id=\"content-body\">\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{18}\" paraid=\"1793836622\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">Thirty years ago, Europe commanded nearly a fifth of the global semiconductor market. Today it\u00a0<\/span><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/digital-strategy.ec.europa.eu\/en\/factpages\/chips-act\"><span xml:lang=\"EN-GB\" data-contrast=\"none\"><span data-ccp-charstyle=\"Hyperlink\">holds less than 10%,<\/span><\/span><\/a><span xml:lang=\"EN-GB\" data-contrast=\"auto\">\u00a0and the UK\u2019s share\u00a0has\u00a0shrunk to<\/span><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/myoffice.accenture.com\/personal\/molly_mcdonagh_accenture_com\/Documents\/CMT\/FY26\/High%20Tech\/Semiconductor\/%E2%80%A2%09https:\/researchbriefings.files.parliament.uk\/documents\/POST-PN-0721\/POST-PN-0721.pdf\"><span xml:lang=\"EN-GB\" data-contrast=\"none\"><span data-ccp-charstyle=\"Hyperlink\">\u00a0barely half a percent<\/span><\/span><\/a><span xml:lang=\"EN-GB\" data-contrast=\"auto\">. On paper, that looks like failure. In reality, the picture is more complex. Beneath these headline numbers sits a set of capabilities, quiet, <a href=\"https:\/\/www.computerweekly.com\/news\/366555412\/UK-startups-pilot-semiconductor-funding\">highly specialised<\/a>, and globally relevant. How can the UK build on these?<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{54}\" paraid=\"2135573807\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">The first step is recognising that the UK is not trying to win the semiconductor race on every front. It\u00a0can\u2019t, and it\u00a0shouldn\u2019t. Instead, the country has <a href=\"https:\/\/www.computerweekly.com\/news\/366623418\/Government-funds-training-to-build-UK-chip-skills\">embraced a niche strategy<\/a>, focusing on areas where it can lead the world. Crucially, these are the parts of the value chain that create the most intellectual property and the highest margins. It is a strategy grounded in realism, but also one that demands urgency and coordination.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{60}\" paraid=\"1598885616\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">Chip design has long been one of the UK\u2019s most powerful assets. Arm\u00a0remains\u00a0the clearest example: its architectures, renowned for efficiency, sit inside billions of smartphones and increasingly inside data centres, cars, and the growing universe of IoT devices. Arm\u2019s licensing model has allowed thousands of companies to innovate around British-designed cores, effectively making UK ingenuity foundational to global computing. Imagination Technologies stands beside it as another quiet giant. Its GPU IP powers everything from mobile gaming to automotive displays and emerging AI acceleration. These firms built global ecosystems not through manufacturing might but through ideas,\u00a0and that is a strength the UK can amplify.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{70}\" paraid=\"709032080\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">Alongside design, the UK\u2019s leadership in compound semiconductors is becoming increasingly significant. These materials, which outperform silicon in high-frequency communications, power electronics and photonics, are essential for technologies such as 5G infrastructure, electric\u00a0vehicles\u00a0and radar. In South Wales, the Compound Semiconductor Applications Catapult has turned focused R&#038;D into industrial capability, creating a centre of gravity for companies building next-generation electronics. This is not research for its own sake; it is industrial strategy made tangible.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{76}\" paraid=\"1715890931\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">The government has begun to recognise the strategic importance of this sector. Its \u00a31bn <\/span><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/www.gov.uk\/government\/news\/new-1-billion-strategy-for-uks-semiconductor-sector\"><span xml:lang=\"EN-GB\" data-contrast=\"none\"><span data-ccp-charstyle=\"Hyperlink\">National Semiconductor Strategy<\/span><\/span><\/a><span xml:lang=\"EN-GB\" data-contrast=\"auto\">\u00a0may be modest compared to the vast subsidies seen in the US and Asia, but its value lies in focus, not volume. Rather than chasing fabs at any cost, the UK is backing areas where it has a realistic chance of worldwide influence. The\u00a0additional\u00a0<\/span><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/www.techuk.org\/resource\/ambitious-quantum-computing-mission-officially-funded-as-part-of-the-industrial-strategy.html\"><span xml:lang=\"EN-GB\" data-contrast=\"none\"><span data-ccp-charstyle=\"Hyperlink\">\u00a3500m commitment to quantum technology<\/span><\/span><\/a><span xml:lang=\"EN-GB\" data-contrast=\"auto\">\u00a0over the next four years shows similar intent. Quantum computing, sensing and communications will reshape everything from cybersecurity to national defence, and the UK aims to be among the nations defining that future.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{92}\" paraid=\"914482889\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">Yet strategy alone is not enough. Other countries are already competing fiercely to attract semiconductor investment.\u00a0 Japan secured a major TSMC plant with a mix of subsidies, talent and predictability. Ireland has spent decades cultivating Intel\u2019s European operation<\/span><span xml:lang=\"EN-GB\" data-contrast=\"auto\">through a stable regulatory environment and a steady flow of engineers. The UK\u00a0can learn from\u00a0these approaches, but it does need to present a value proposition that is just as compelling. It must offer clarity, speed, and a business environment that rewards companies willing to innovate here.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{112}\" paraid=\"813663791\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">The greatest constraint,\u00a0both for the UK and globally,\u00a0is talent. Semiconductor engineering is now one of the most competitive labour markets in the world, and the UK faces the same challenge as every nation: too few people with the specialised skills that chip design, advanced\u00a0manufacturing\u00a0and materials science demand. Solving this will require a long-term shift. Universities will need more industry-aligned courses, and colleges must develop more pathways that connect students directly into semiconductor careers. Engineers working in aerospace, automotive, defence and software must be given opportunities to move into semiconductor roles through meaningful retraining programmes. And once the UK has this talent, it must become a place where they want to stay. Competitive salaries matter, but so does the promise of interesting work, modern\u00a0facilities\u00a0and a sense that the country is committed to leadership rather than merely participation.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{126}\" paraid=\"659265730\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">One of the UK\u2019s most underrated advantages is its collaborative culture. Historically, the country has excelled when industry, academia and government work together towards a shared technological goal. The semiconductor sector is no different. <\/span><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/www.leonardo.com\/en\/press-release-detail\/-\/detail\/09-09-2025-industry-partners-form-gcap-electronics-evolution-consortium-to-deliver-sensing-and-communications-for-next-generation-fighter\"><span xml:lang=\"EN-GB\" data-contrast=\"none\"><span data-ccp-charstyle=\"Hyperlink\">The GCAP Electronics Evolution Consortium<\/span><\/span><\/a><span xml:lang=\"EN-GB\" data-contrast=\"auto\">\u00a0&#8211;\u00a0bringing Leonardo and partners together to develop next-generation sensing technologies\u00a0&#8211;\u00a0shows the power of pooled\u00a0expertise\u00a0and shared infrastructure. The UK needs\u00a0examples like\u00a0this. Universities can provide the fundamental research that fuels breakthroughs; Catapults can accelerate translation; and industry can scale the results into real products. In semiconductors, no single organisation can succeed alone. The winners are ecosystems, not isolated champions.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{147}\" paraid=\"439362200\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">This matters because semiconductors are now inseparable from national sovereignty. They underpin artificial intelligence, telecommunications, defence systems, energy\u00a0networks\u00a0and the entire digital economy. A nation\u2019s strength in semiconductors increasingly defines its economic and strategic independence. The UK already leads in design, intellectual\u00a0property\u00a0and compound materials. The task now is weaving these strengths into a coherent industrial base,\u00a0one capable not only of producing world-class innovation but of attracting and\u00a0retaining\u00a0global partners aligned with the UK\u2019s long-term ambitions.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{157}\" paraid=\"1135340562\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">The opportunity is real. With the right focus, the UK could become\u00a0one of\u00a0the world\u2019s leading hubs\u00a0for advanced semiconductor design and next-generation materials. The next decade will\u00a0determine\u00a0which countries shape the future of computing and which merely buy it. The UK must decide where it wants to stand.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{171}\" paraid=\"823891057\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">To succeed, the UK must double down on its niche strengths, accelerate collaboration between academia and industry, strengthen its talent pipeline, and create an environment that gives global innovators a reason to build here. The UK will not outspend the US or out-subsidise the EU, but that should not be the ambition. Instead, it should lead in the parts of the value chain that define the direction of the industry, not just the volume of output.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{177}\" paraid=\"169508252\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">Quantum shows what this can look like. The UK has firmly established itself as a global leader in the field, ranking third worldwide for the quality and impact of its <a href=\"https:\/\/www.computerweekly.com\/news\/366634198\/Government-showcases-UK-quantum-computing-pledge\">quantum research<\/a>, and standing as one of the top two countries for creating and scaling quantum companies.<\/span><span xml:lang=\"EN-GB\" data-contrast=\"auto\">\u00a0It now hosts the largest number of quantum start-ups in Europe and attracts more investment into the sector than any other European country. This is proof that when the UK aligns world-class science, early commercialisation, and targeted support, it can shape frontier markets rather than chase them.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\n<div>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{190}\" paraid=\"1056234964\"><span xml:lang=\"EN-GB\" data-contrast=\"auto\">This is a moment of choice. If the UK acts decisively, it can secure a globally recognised position in the technologies that will shape the next century. If it hesitates, others will fill the space. Semiconductors may be small, but the stakes could not be larger. The UK still has the capability to lead.\u00a0<\/span><\/p>\n<p paraeid=\"{35121445-3d9f-4ddf-a98b-6328d046e75b}{190}\" paraid=\"1056234964\"><span data-ccp-props=\"{}\">Guido D\u2019Hert, is global semiconductors industry lead at Accenture\u00a0<\/span><\/p>\n<\/div>\n<\/section>\n<section id=\"DigDeeperSplash\">\n<h4>\n\t\t\t<i data-icon=\"m\"><\/i>Read more on Chips and processor hardware<\/h4>\n<ul>\n<li><a id=\"DigDeeperItem-1\" href=\"https:\/\/www.computerweekly.com\/news\/366626397\/Industrial-Strategy-Takeways-for-UK-tech-innovations\"><br \/>\n\t\t\t\t\t<img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero Images\/Whitehall-hero_searchsitetablet_520X173.jpg\" srcset=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero%20Images\/Whitehall-hero_searchsitetablet_520X173.jpg 960w,https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero%20Images\/Whitehall-hero.jpg 1280w\" alt ><\/p>\n<h5>Industrial strategy: Takeaways for UK tech innovations<\/h5>\n<div>\n<p><img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/rms\/computerweekly\/Cliff-Saran-Sep-2022-140x180px.jpg\" alt=\"CliffSaran\">\n\t\t\t\t\t\t\t\t\t<\/p>\n<p><span>By: <span>Cliff\u00a0Saran<\/span><\/span>\n\t\t\t\t\t\t\t<\/p>\n<\/div>\n<p>\t\t\t\t<\/a><\/li>\n<li><a id=\"DigDeeperItem-2\" href=\"https:\/\/www.computerweekly.com\/news\/366620502\/Peter-Kyle-sets-stage-for-making-tech-work\"><br \/>\n\t\t\t\t\t<img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero Images\/London-Westminster-Parliament-4-adobe_searchsitetablet_520X173.jpg\" srcset=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero%20Images\/London-Westminster-Parliament-4-adobe_searchsitetablet_520X173.jpg 960w,https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/Hero%20Images\/London-Westminster-Parliament-4-adobe.jpg 1280w\" alt ><\/p>\n<h5>Peter Kyle sets stage for making tech work<\/h5>\n<div>\n<p><img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/rms\/computerweekly\/Cliff-Saran-Sep-2022-140x180px.jpg\" alt=\"CliffSaran\">\n\t\t\t\t\t\t\t\t\t<\/p>\n<p><span>By: <span>Cliff\u00a0Saran<\/span><\/span>\n\t\t\t\t\t\t\t<\/p>\n<\/div>\n<p>\t\t\t\t<\/a><\/li>\n<li><a id=\"DigDeeperItem-3\" href=\"https:\/\/www.computerweekly.com\/news\/366611856\/Semiconductor-market-scaleups-to-benefit-from-multimillion-pound-investment-from-Innovate-UK\"><br \/>\n\t\t\t\t\t<img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/HeroImages\/semiconductor-silicon-wafer-robotic-arm-phonlamaiphoto-adobe_searchsitetablet_520X173.jpg\" srcset=\"https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/HeroImages\/semiconductor-silicon-wafer-robotic-arm-phonlamaiphoto-adobe_searchsitetablet_520X173.jpg 960w,https:\/\/www.computerweekly.com\/visuals\/ComputerWeekly\/HeroImages\/semiconductor-silicon-wafer-robotic-arm-phonlamaiphoto-adobe.jpg 1280w\" alt ><\/p>\n<h5>Semiconductor market scaleups to benefit from multimillion-pound investment from Innovate UK<\/h5>\n<div>\n<p><img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/rms\/computerweekly\/Caroline-Donnelly-CW-contributor-2022-140x180px.JPG\" alt=\"CarolineDonnelly\">\n\t\t\t\t\t\t\t\t\t<\/p>\n<p><span>By: <span>Caroline\u00a0Donnelly<\/span><\/span>\n\t\t\t\t\t\t\t<\/p>\n<\/div>\n<p>\t\t\t\t<\/a><\/li>\n<li><a id=\"DigDeeperItem-4\" href=\"https:\/\/www.computerweekly.com\/opinion\/Why-the-government-should-still-bet-on-DSITs-five-key-technologies\"><br \/>\n\t\t\t\t\t<img decoding=\"async\" src=\"https:\/\/www.computerweekly.com\/visuals\/German\/article\/quantum-computing-2-adobe_searchsitetablet_520X173.jpg\" srcset=\"https:\/\/www.computerweekly.com\/visuals\/German\/article\/quantum-computing-2-adobe_searchsitetablet_520X173.jpg 960w,https:\/\/www.computerweekly.com\/visuals\/German\/article\/quantum-computing-2-adobe.jpg 1280w\" alt ><\/p>\n<h5>Why the government should still bet on DSIT\u2019s five key technologies<\/h5>\n<p>\t\t\t\t<\/a><\/li>\n<\/ul>\n<\/section>\n<\/div>\n<p><a href=\"https:\/\/www.computerweekly.com\/opinion\/A-call-to-action-to-rebuild-the-UKs-semiconductor-industry\" class=\"button purchase\" rel=\"nofollow noopener\" target=\"_blank\">Read More<\/a><br \/>\n Raleigh Ramage<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The UK has a chance to shape the next era of chip technology. The challenge is turning pockets of excellence into national strength By Guido D\u2019Hert Published: 12 Dec 2025 Thirty years ago, Europe commanded nearly a fifth of the global semiconductor market. Today it\u00a0 holds less than 10%, \u00a0and the UK\u2019s share\u00a0has\u00a0shrunk to \u00a0barely<\/p>\n","protected":false},"author":1,"featured_media":877686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2258,4005,46],"tags":[],"class_list":{"0":"post-877685","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-action","8":"category-rebuild","9":"category-technology"},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/877685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/comments?post=877685"}],"version-history":[{"count":0,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/posts\/877685\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media\/877686"}],"wp:attachment":[{"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/media?parent=877685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/categories?post=877685"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/newsycanuse.com\/index.php\/wp-json\/wp\/v2\/tags?post=877685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}