Wednesday, December 1st 2021

The EU is Aiming for 20 Percent of Leading Edge Chips to be Made in EU by 2030

According to Margrethe Vestager—the European Commissioner for Competition—the EU is hoping to be able to produce up to 20 percent of leading edge chips within the EU by 2030. Today that number is around 10 percent, down from some 40 percent back in the 1990's.

However, it seems like the EU has understood that it can not be self-reliant on semiconductor parts, no matter how many companies it can entice to build foundries within the EU. However, the EU is very much looking at getting more chip production happening inside the union, especially for the automotive industry. At the same time, the EU understands that it has to work with global suppliers of chips, especially what is being referred to as legacy technology in the interview with CNBC.
The EU is also working with the US to figure out why the current chip shortage happened, to try and prevent it from happening again in the future. At the same time, the EU is looking at investing in foundries, in cooperation with European businesses, while at the same time trying to avoid giving out unfair subsidies. There's obviously no quick fix to the current supply problems, but it's at least clear that the EU is taking the issue seriously and that its working towards making sure that at least a certain amount of chips and components used by companies in its member countries will be made within the union.

Image from Wikimedia Commons.
Source: CNBC
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18 Comments on The EU is Aiming for 20 Percent of Leading Edge Chips to be Made in EU by 2030

#1
DeathtoGnomes
What? Eu stopped blaming the chip shortage on hoarders?
Posted on Reply
#2
FreedomEclipse
~Technological Technocrat~
I guess these 20% of leading edge chips will come with a 20% price increase.

As for the EU working with the US to figure out why the current chip shortage happened. I dont think those companies need to disclose shit to the EU or the US because its Nanyabusiness (or 'their' business) unless the company is Intel or maybe possibly ARM. TSMC, Samsung or whoever with Fabs dont have to tell anyone anything if it thinks it breaches their clients data privacy.

I mean the EU could sanction TSMC but unless the EU want to go back to the 1980s where people were like the flintstones, driving analogue cars and beating dinosaurs with a stick of wood.
Posted on Reply
#3
Fourstaff
Suddenly everyone is scrambling to manufacture cutting edge chips. I think it is not going to be easy: there are only so many people with the knowledge on advanced chip making, and the supply chain is international: ASML, Lam Research, AMAT, Tokyo Electron, TSMC to name a few.
Posted on Reply
#4
The Quim Reaper
LOL..The EU. Always thinking it can legislate its way to success. :kookoo:
Posted on Reply
#5
TheLostSwede
The Quim ReaperLOL..The EU. Always thinking it can legislate its way to success. :kookoo:
This has nothing to do with legislation though, this has to do with trying to entice companies to make more chips in the union by giving them incentives.
FourstaffSuddenly everyone is scrambling to manufacture cutting edge chips. I think it is not going to be easy: there are only so many people with the knowledge on advanced chip making, and the supply chain is international: ASML, Lam Research, AMAT, Tokyo Electron, TSMC to name a few.
The question here is who will take the EU up on the offer, equipment and expertise aside.
Posted on Reply
#6
Fourstaff
TheLostSwedeThe question here is who will take the EU up on the offer, equipment and expertise aside.
They can strong arm development similar to how they built Airbus.
Posted on Reply
#7
The Quim Reaper
TheLostSwedeThis has nothing to do with legislation though
Ha-ha-ha!

this is the EU we're talking about.

USA Innovates
China Duplicates
EU Legislates
Posted on Reply
#8
Bubster
The EU is gonna increase its production of (Potato) Chips to 20% :) and leave the semiconductor chips to the US and the Asians.
Posted on Reply
#9
Easo
It is always funny to read such comments about EU. Almost like everyone forgot that EU consists of good part of the world actually being able to pay for stuff and has enormous political pull and weight...
Posted on Reply
#10
TheinsanegamerN
EasoIt is always funny to read such comments about EU. Almost like everyone forgot that EU consists of good part of the world actually being able to pay for stuff and has enormous political pull and weight...
The same EU that lost the UK, and is comprised of many member nations that cant fund the EU without germany and france's help? The same EU that, despite all their chest thumping about "clean energy" and "muh future" can be held to frozen ransom by one of their greatest adversaries, russia, and is wholy dependant on the majorly american funded NATO for defense? THAT EU?

On the political stage china, india, america, and russia all have more power then the EU does.
TheLostSwedeThis has nothing to do with legislation though, this has to do with trying to entice companies to make more chips in the union by giving them incentives.
The EU itself wont have the financial power to do so, it will have to come from its member states, and will be done through legislation, not directly through EU coffers.
TheLostSwedeThe question here is who will take the EU up on the offer, equipment and expertise aside.
I doubt many will. Perhaps TSMC, if they can get a good enough deal, just to get away from relying on taiwan. I'd be surprised if these companies wanted to invest in the EU versus poland or hungary, which have far lower development costs and are much friendlier to businesses.
Posted on Reply
#11
RandallFlagg
IDK why they are focusing on 'cutting edge', blaming the lack of those nodes on unrelated issues, and obviously not even clear on what that means.

TSMC 7nm or even 10nm equivalent process nodes are not where the industrial production problems are coming from outside of GPUs.

It tends to be things like LCD / OLED drivers and embedded processors, PMICs aka power management ICs, and RF/5G related chips. These are mostly done on older nodes like 40-150nm, using older 100mm and 200mm wafers.

In fact, Apple production shortages happened specifically due to touch screen controllers.
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#12
TheoneandonlyMrK
Dreamy ideals built on f all but a politicians hot air , there's more chance of Britain unbrexiting by 2030 than this.
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#13
RedBear
EasoIt is always funny to read such comments about EU. Almost like everyone forgot that EU consists of good part of the world actually being able to pay for stuff and has enormous political pull and weight...
The issue is that the EU's actual political weight is inferior to the sum of its members', the EU can spend fifteen or twenty years discussing about a single topic without coming to an agreement, because often unanimity is needed.
Posted on Reply
#14
TechLurker
FourstaffThey can strong arm development similar to how they built Airbus.
Well the EU has ASML, one of about 2-3 bleeding edge chip manufacturing equipment makers. So they can probably work out priority deals and all.
Posted on Reply
#16
seth1911
The EU which want backdoors in E2E, im sure this would help for more Tech Industries. :laugh:
Posted on Reply
#17
big_glasses
FreedomEclipseI mean the EU could sanction TSMC but unless the EU want to go back to the 1980s where people were like the flintstones, driving analogue cars and beating dinosaurs with a stick of wood.
Then TSMC would also have to say bye-bye to ASML gear (if they choose that route)
TheinsanegamerNI doubt many will. Perhaps TSMC, if they can get a good enough deal, just to get away from relying on taiwan. I'd be surprised if these companies wanted to invest in the EU versus poland or hungary, which have far lower development costs and are much friendlier to businesses.
I don't get it, you're saying they won't invest in EU, but then mention 2 EU members as possible investment sites?

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Minus InfinityIn the EU SoC means surveillance on a chip.
seth1911The EU which want backdoors in E2E, im sure this would help for more Tech Industries. :laugh:
Vs the already US backdoors *cough* cisco *cough*
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