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The semiconductor industry lies at the heart of Europe’s technological ambitions, powering breakthroughs in artificial intelligence, quantum computing, and advanced manufacturing. However, as the industry expands rapidly to meet surging global demand, the need for highly skilled workers is outpacing supply. According to the recently published ECSA Skills Strategy, Europe must train and hire tens of thousands of skilled professionals by 2030 to remain globally competitive. Without a robust and inclusive talent pipeline, the region’s independence in critical technologies might be at risk.At this year’s Industry Strategy Symposium Europe (ISS Europe) held in March, a panel discussion moderated by Maria Daniela Perez from SEMI Europe, brought together industry leaders and experts to explore solutions to this challenge. The discussion centered on how emerging technologies are reshaping the workforce, the role of education in preparing future professionals, and strategies for attracting and retaining diverse talent – all critical to ensuring sustainable workforce development in the semiconductor industry.Tackling Talent Acquisition and RetentionCatherine Le Lan, European University Program Manager from Synopsys, drew a direct connection between technological disruption and workforce challenges. “AI is driving unprecedented changes, and hardware is at the heart of the AI revolution,” said Le Lan. As the industry invests in new methodologies, leading-edge technologies, and innovative products, the demand for updated skillsets continues to outpace supply. This places a dual burden on companies – who must hire for both today’s and tomorrow’s skills – and on the education sector, which is expected to rapidly adapt.Meike Boekelmann, Chief of Human Resources at Comet, highlighted that the challenge is not just about attracting talent from within the semiconductor field – it is also about standing out in a crowded talent market. “We are not only competing within our industry for talent. We’re also competing against other industries: automotive, consumer electronics, and AI,” said Boekelmann. To succeed, companies must go beyond traditional incentives and offer meaningful, forward-looking career experiences. “Primarily what I see is that they’re really asking for creating an impact and also a sense of belonging… so they want to see what’s the outcome,” she explained. “There are more people leaving the labor market than entering the labor market,” added Thomas Kralinski from the Saxon State Secretary of Economic Affairs, Labour, Energy and Climate. “We need to think about immigration, family-work integration, and training.” His comments underscore the need for a holistic workforce strategy – one that not only fills immediate vacancies, but also strengthens the broader ecosystem through inclusive policies, targeted reskilling, and long-term demographic planning.Fostering Industry-Academia SynergyAs the industry evolves, so must its workforce. Andreas Schleicher, Director for Education and Skills at the OECD, made a stark observation. “There’s one thing worse than losing people – and that is to keep them and not upskill them.” He warned that the current pace of technological change demands far more than one-time training; it requires a culture of continuous learning. “Neither the industry nor the education sector has the capacity for upskilling and reskilling,” he noted, pointing out that while Europe performs well in early education, adult learning remains insufficient. “The incidence and intensity of upskilling and reskilling is so far out of what we will need.” Without scalable, lifelong learning systems, even experienced professionals risk being left behind.Building on this idea of future-readiness, Thomas Kralinski noted: “Do you know what kind of fab is going to be open in 10 years’ time or what startup is going to be founded in 10 years’ time? You probably don’t. But everybody who’s working there or will work there is born already – and is probably in school or at the university.” He underscored the need for steady investment in teachers, training systems, and educational infrastructure – not just to meet today’s demand but to ensure Europe’s long-term competitiveness.To truly inspire the next generation, Schleicher pointed to visibility as a vital factor. “You cannot be what you cannot see.” Without relatable role models or a clear understanding of how their interests connect to meaningful careers, young people – especially underrepresented students – often overlook STEM pathways. Schleicher described how even small actions, like industry professionals visiting schools to explain their work, can have a lasting impact. “You can bring someone from the semiconductors industry to speak to students and help them understand, for example, what’s in a mobile phone and that they can actually create tomorrow’s mobile phone.” That kind of engagement, he argued, helps “build dreams” and makes technology tangible, exciting, and inclusive.AI: An Enabler, Not a ThreatPanel moderator Maria Daniela Perez raised a critical question about the evolving role of AI in the workforce. Acknowledging the widespread concern that AI could lead to job displacement, she challenged the panel to consider a different perspective. How can AI be leveraged to broaden and accelerate the talent pipeline rather than replace it? In response, the panelists emphasized that AI is not a disruptor but an accelerator. Rather than eliminating jobs, AI-driven tools enhance productivity by automating repetitive tasks, freeing professionals to focus on innovation, problem-solving, and high-value work. Catherine Le Lan provided a compelling example, explaining how AI-powered electronic design automation (EDA) tools are enabling engineers to push the boundaries of technological advancement. She referred to a university study that compared two groups of students – one with access to AI tools and one without. “They found out that those AI tools helped to improve productivity and also helped to improve skills of the students,” she said. “The student who had used AI tools had better skills than the one who hadn’t used AI tools… because they had been able to focus on the high-level skills, and they got rid of the low-level skills.” Her remarks underscored how AI, when integrated into education, can accelerate both efficiency and learning outcomes.Collaboration: The Key to Sustainable Workforce DevelopmentAddressing the workforce challenge requires cross-sector collaboration among industry, academia, and policymakers. There is a shared responsibility to invest in long-term education strategies, develop structured training initiatives, and create an ecosystem where talent can thrive. This is precisely the mission of two SEMI Europe-led initiatives.The European Chips Skills Academy (ECSA) and the European Chips Diversity Alliance (ECDA) are playing a critical role in shaping Europe’s semiconductor workforce. ECSA is driving efforts to align education and training with industry needs, ensuring that both students and professionals are equipped with the technical expertise and practical experience required for the sector’s future. Meanwhile, ECDA focuses on building a more inclusive semiconductor workforce across the industry. By creating opportunities for underrepresented groups, ECDA is ensuring that the industry benefits from a broad talent pool.Securing Europe’s Semiconductor FutureIn her closing remarks, Maria Daniela Perez brought the discussion full circle, emphasizing that addressing the semiconductor talent gap requires collective ownership: “In the end, it ends up being all about collaboration,” said Perez. From engaging technology users to amplifying the industry’s visibility, to aligning with academia and policymakers, the path forward depends on shared action. By fostering this ecosystem-wide commitment – and investing in the people behind the progress – Europe can bridge the talent gap and shape a resilient, inclusive, and globally competitive semiconductor workforce.SEMI ContactKartikey Srivastava, Senior Specialist, CommunicationsEmail: [email protected]
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Hello SEMI members:First and foremost, I hope this finds you all healthy and safe. With new developments emerging every day on the COVID-19 coronavirus outbreak, we want to make sure you’re aware of the resources that SEMI is making available to your business, and many others in the electronics manufacturing and design supply chain, to help you navigate through these tumultuous times. Our SEMI Responds webpage lists best practices for company policies, communications and working from home, based on recent calls with members led by our Environmental Health and Safety (EHS) and Information Technology Leadership (ITL) groups. The EHS section provides tips on facilities and meetings, employee policies, business travel and communications, while the ITL section lists insights on computing hardware for staff, licensing, networks, security and employee policies. SEMI greatly appreciates the invaluable member input. Our goal is to help our member companies make informed business decisions during these highly challenging and uncertain conditions, and your contributions to this effort will benefit the industry as a whole. I am pleased to announce that SEMI has partnered with McKinsey Company to provide an additional source of information: a joint-webinar – COVID-19 Insights: Microelectronics Industry Impact and Best Practices – on Thursday, March 26 at 4pm PT. We will present insights gathered through SEMI member surveys and other industry outreach along with the latest expert data from McKinsey Company to help guide your business continuity plans. Click here to register.The SEMI Global Advocacy team has been evaluating how government responses to the outbreak will impact the industry. In the U.S., the team sent letters to 16 state governors last week to request the classification of the semiconductor industry as an “essential business” so that operations can continue if states institute “shelter-in-place” orders. The letters note that SEMI members are “employing all measures necessary to maintain the health and safety of their employees as they maintain continuous operations critical to the industry” based on the input of participating companies.As for SEMI events, I want to reassure you that SEMI continues to make the safety of our members, exhibitors, visitors and employees our top priority. We continue to track COVID-19 developments worldwide and advisories from the World Health Organization (WHO) and the U.S. Centers for Disease Control and Prevention (CDC). We are also working with our regional offices to engage with industry contacts for inputs, and SEMI has postponed or cancelled several of our major events including: Canceling SEMICON Korea 2020, which was scheduled for February 5-7 Postponing SEMICON China 2020 from March 18-20 to June 27-29 Postponing ISS Europe 2020 from April 1-3 to September 1-3 Postponing ASMC 2020 from May 4-7 to the week of August 23 (still finalizing) Postponing SEMICON Southeast Asia from May 12-14 to August 11-13 If plans for any other upcoming events change, SEMI will immediately notify event exhibitors, visitors and speakers. You can find the latest information on changes to our event schedule on our Coronavirus Status Updates webpage. SEMI is working to help our members continue to connect and do business in the interim. For example, our Standards team is hosting virtual meetings for task forces, and we are exploring other virtual events and ways to keep the lines of communication open. I have challenged the SEMI team to think outside the box and will keep you posted as we make new services available.In the meantime, SEMI continues preparations for later events with laser-sharp focus and determined intent to help spark the industry to reignite business growth and meet pent-up demand. The first major rescheduled event is our largest, SEMICON China in Shanghai. You have probably heard news on some of the positive signs coming out of China. You can read about some of these developments in this blog post from the SEMI China team, which has been in close contact with key exhibitors, domestic suppliers and large multi-national corporations that have confirmed that they will participate in SEMICON China based on the current outlook. We are determined to help the industry return to growth. For the first time we will feature an IC Design Pavilion at SEMICON China to help our traditional semiconductor manufacturing members form more connections across the microelectronics supply chain.In the U.S., this year is proving how quickly everything can change. While the immediate future is steeped in uncertainty, we are diligently assessing current conditions while planning for SEMICON West 2020 in San Francisco from July 20-23, though the event dates are subject to change. SEMI is monitoring the COVID-19 containment efforts closely, and we will keep you informed of any changes in plans.In closing, I want to provide a brief reminder that SEMI members should be proud of the roles your companies have played in enabling the technology that will beat the COVID-19 coronavirus. The most powerful supercomputers in the world are helping in the push to develop a vaccine, and these machines would not exist without countless innovations from SEMI members over our 50-year history. The team at SEMI is proud to serve you all and is absolutely committed to doing all that we can to help the industry rise to meet this newest challenge. Sincerely yours,Ajit ManochaPresident and CEO, SEMI
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As a top semiconductor manufacturing hub, Korea is poised to lead the world in fab construction spending in 2019 and 2020, accounting for 27 percent of the total market. Little wonder that Korea’s prowess in the semiconductor industry has meant steady membership growth for SEMI Korea, with HD Cho, president of SEMI Korea, putting the average annual jump at about 7 percent.But HD Cho’s focus as he returned to COEX in Seoul, home to SEMICON Korea, in late August was not on membership growth over the years but the future. Cho hosted about 400 SEMI members gathered at SEMI Korea Members Day for insights into the state of the world economy, semiconductor industry outlooks, and perspectives on how South Korean and European microelectronics companies can form stronger ties. Setting the stage with look at macroeconomics, Byung-yeon Kim, team manager of NH Investment and Securities, predicted that, as the global economy continues to falter, 25 of the 58 major countries this year will cut interest rates in a bid to boost prospects for growth. Historically, the global composite leading indicator (CLI), a bellwether for turning points in the economy, has rebounded after 20 months of decline, he said. While the CLI downtrend is now past the 20-month mark, Kim struck a bullish note, predicting that the global economy will bounce back before long.Soo-kyoum Kim, vice president at IDC, referring to the semiconductor industry’s own soft patch, said that total revenue is expected to drop from $475 billion in 2018 to $440 billion this year but should rebound to a new high of $500 billion in 2023. The memory market will be especially hard-hit, dropping more than 29 percent in 2019 and another 14 percent next year before bottoming and then staging a recovery in the second half of 2020. The strength of the rebound will hinge on server market demand, he added.Next year will also see rebounds in semiconductor equipment and materials revenue, with growth of 12 percent and 3 percent, respectively, said Clark Tseng, director of Industry Research and Statistics at SEMI. The increases will follow a 2019 equipment market drop of 18 percent to $53 billion from the previous year while materials this year is expected to remain flat at $52 billion. The semiconductor industry will expand at a modest 2.4 percent this year, jumping to 7.6 percent in 2020, Tseng reported, citing the average growth rate based on data from Gartner, WSTC, IC Insights, VLSI Research and other industry analyst firms. Despite current weak market demand and the ongoing trade war, the long-term outlook for the semiconductor industry remains upbeat, he added.In Europe, semiconductor industry growth continues on the strength of the region’s high strategic importance in the global electronics supply chain, said Laith Altimime, president of SEMI Europe. Fab construction spending in Europe continued to grow in 2018, reaching $300 million, and is expected to hit $1.2 billion in 2019 and $1.6 billion in 2020, with equipment, parts and components driving the surges.To help build stronger ties between European and Korean chip industries, Altimime introduced the SEMI Korea members to SEMI Europe business platforms including SEMICON Europe, the 3D System Summit, ISS Europe, and the MEMS Imaging Sensor Summit. He also encouraged the formation of more business partnerships between companies in the two regions by familiarizing SEMI Korea members with European players in areas such as foundry, MEMS, sensors and wafer manufacturing.And it will be MEMS and sensors that help drive the 4th Industrial Revolution, said Sung-hyuk Kim, a team leader at LG Electronics' Sensor Solution Research Institute. In his presentation Architecting Sensor Solutions for the Next Revolution, he noted that sensors are finding their way into devices where they have never been used before. In household refrigerators, gas sensors help deodorize the inside while distance sensors detect the approach of people. Air conditioners equipped with a camera sensor can pinpoint the location of humans and steer the airflow in their direction. Of course, all these smarts will come in form of data-devouring artificial intelligence (AI), and that data will be generated in massive amounts by MEMS and sensors – placing them at the epicenter of the 4th Industrial Revolution.Jaegwan Shim is a marketing specialist at SEMI Korea.
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