Semiconductors Market Data by Feature Size, Sector and Region
The European Commission, Directorate-General for Communications Networks, Content and Technology (DG-CNECT), has commissioned a groundbreaking study on the semiconductor market, titled “Semiconductors Market Data by Feature Size, Sector and Region” (CNECT/2022/MVP/0084). The study aims to establish a comprehensive methodology for acquiring and analyzing market data. Its primary goal objective is to monitor and evaluate European progress in meeting the Digital Decade target of achieving 20% of global semiconductor production in value. The study, started on January 2023, will be closed around June 2025.
The global semiconductor value chain has experienced significant challenges in recent years due to the impact of the Covid-19 pandemic and the disruptions caused by the war in Ukraine. Despite strong growth in demand, the industry’s response has been slow, leading to a substantial depletion of already limited inventory. Consequently, shortages of semiconductor components have emerged as a harsh reality, with far-reaching implications across critical sectors such as medical devices, broadband communication devices, and automotive components. Europe, in particular, has been heavily impacted, with the European Commission estimating that a large percentage of European businesses have been adversely affected, either directly or indirectly, by the ongoing chip shortage.
The study’s specific objectives are threefold:
- Designing and implementing an actionable and data-driven methodology to assess Europe’s role in the semiconductor industry. This will enable policymakers to make informed decisions and devise effective strategies to enhance Europe’s semiconductor capabilities.
- Providing accurate and research-based qualitative and quantitative analysis of the semiconductor market, encompassing various segments of the value chain across different regions worldwide. The study will offer insights into market trends, challenges, and opportunities, enabling stakeholders to navigate the complex landscape effectively.
- Conducting primary and secondary research to track the progress of the EU Digital Decade’s targets. This will involve comprehensive data collection and analysis to evaluate Europe’s advancements in semiconductor production and gauge its alignment with the ambitious Digital Decade goals.
The study is anticipated to shed light on key factors influencing the semiconductor market, including technological advancements, policy frameworks, and global supply chain dynamics. By comprehensively examining Europe’s semiconductor landscape, the research will contribute to formulating strategies and policies that foster growth, innovation, and resilience in this critical industry.
The findings of this study hold great significance for European policymakers, industry stakeholders, and the broader global semiconductor community. As the world grapples with the consequences of the ongoing chip shortage, the research aims to provide valuable insights that will help mitigate future disruptions and support the European Commission’s commitment to achieving a robust and sustainable semiconductor industry.