The report finds that a federal investment in semiconductor design and R&D of approximately $20 billion to $30 billion through 2030—including $15 billion to $20 billion for an investment tax credit for semiconductor design—will help maintain long-term U.S. chip design leadership.
Semiconductors—the tiny chips powering modern electronics—have enabled breathtaking innovation in virtually all areas of society, fundamentally shifting the boundary between the possible and the impossible. Today’s semiconductors are so advanced they can contain more than 100 billion transistors on a single piece of silicon—so many that it would take a person more than 1,000 years to count each one aloud.
New SIA R&D report identifying five key areas of the semiconductor R&D ecosystem that should be strengthened by the CHIPS and Science Act’s R&D funding
Robust federal incentives for domestic chip manufacturing would create an average of nearly 200,000 American jobs annually as fabs are built and add nearly $25 billion annually to U.S. economy.
A Semiconductor Industry Association (SIA)/Boston Consulting Group (BCG) study analyzes the benefits and vulnerabilities of the global semiconductor supply chain and recommends government actions to ensure its long-term strength and resilience. The report finds that while the current global semiconductor supply chain structure based on geographic specialization has enabled tremendous innovation, productivity, and cost savings over the last 30 years, new supply chain vulnerabilities have emerged that must be addressed by government actions, including funding incentives to boost domestic chip production and research.
The shortage is largely the result of substantial swings in demand due to the pandemic and the increased use of semiconductors in advanced vehicles. The semiconductor industry is working diligently to ramp up production to meet renewed demand, but that takes time.
A new joint report by the Semiconductor Industry Association and the Boston Consulting Group finds the U.S. government has a strategic opportunity to reverse the decades-long trajectory of declining chip manufacturing in America, strengthen national security and make our supply chains more resilient, and make our country one of the most attractive places in the world to produce semiconductors, which are the brains of modern technology.
For decades, federal government and private sector investments in semiconductor research and development (R&D) have propelled the rapid pace of innovation in the U.S. semiconductor industry, making it the global leader and spurring tremendous growth throughout the U.S. economy. This report analyzes the impact of federal investments in semiconductor R&D on U.S. economic growth, job creation, and our country’s technology leadership.
The COVID-19 pandemic highlighted the importance of information and communication technologies (ICT) in supporting essential activities in a crisis, and the role of an ever-widening range of digitized services, from commerce to education to healthcare, in building a resilient society.