Skip to main content Skip to footer

High Tech

Semiconductor

Power the future of tech innovation

What's going on

Current investments in new or expanded semiconductor fabs represent great confidence in the industry’s future. And why not? Both business and government want to distribute chip manufacturing beyond its few current locations. But onshoring and nearshoring present their own challenges: working with public and private entities, accessing needed infrastructure and natural resources, finding semiconductor talent, and redesigning supply networks.

Semiconductors are at the heart of innovation
Generative AI and increasingly connected products are driving the need for more powerful semiconductors. Modern cars have about 1000-3500 chips in them, smartphones over 250, laptops over 100, XR devices over 100 and medical devices over 20. And these numbers are only growing.
Customers have become chip designers
With some of the industry’s biggest customers now manufacturing their own chips (or at least looking to do so in the near future), semiconductor leaders must step up their game to ensure they remain the manufacturers of choice for the industry’s customers.
New fabs are online
Many high-tech companies are racing to build or augment onshore semiconductor fabrication plants (“fabs”). They expect a sharp demand rebound, and they don’t want to be caught short like they were during the pandemic chip shortage.
The talent gap is growing
Unprecedented semiconductor demand will fuel job growth, with 1 million semiconductor positions to be filled globally by 2030. A significant number of these roles will go unfilled unless steps are taken to grow the pipeline of talent and create programs to develop semiconductor skills.
Supply chains require redesign
The pressure is on to redesign and reconfigure the supply chain. Semiconductor companies are facing challenges as they explore the future of their supply chains — reducing risk, building supply chain resilience, reducing the carbon footprint — all while delivering on customer demands.

What you can do

To provide visibility, redesign your manufacturing processes to include automation, machine learning, scalable robotics, sensors — across all systems and processes. Reimagine the fab floor to use digital twins and other emerging technologies.

60

new high-tech manufacturing sites will be upgraded or created in the US by 2024, affecting local talent and global supply chain

Redesign your supply network to bring supply closer to the customer. Manufacturing onshoring and nearshoring can improve your supply chain resiliency and reduce risk.

78%

of supply chain and manufacturing executives want their factories to be located within 4 time zones of the customer

Strengthen your digital core through total enterprise reinvention, enabled by SAP S/4. Build a robust digital foundation, with sound data foundation, to improve your operational efficiency, reduce waste and enhance cross-team collaboration.

90%

of high-tech executives say the pace of technology innovation accelerated their organization’s reinvention strategy

Take three key actions to close the talent gap: grow the talent pipeline, create reskilling programs and leverage AI and automation.  

460,000

semiconductor jobs will exist in the US by 2030 — up from 345,000 today. An estimated 67,000 of these jobs risk going unfilled without action to close the gap