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The United Kingdom is set to invest approximately €1.15 billion in its own chip sector, according to the new UK Ministry of Science, Innovation, and Technology. The investment will focus on research and chip design.
Between 2023 and 2025, the UK will allocate around €230 million to its chip sector, with that amount growing to €1.15 billion over the next decade. The UK will target segments in which the country is already active. “In our new strategy, we are focusing our efforts on our strengths, such as areas like research and design,” said British Prime Minister Rishi Sunak. The country will announce investment plans for chip production around the autumn.
The UK’s investment plans will include a focus on chip design. For example, Arm Ltd, a British company, sells designs and instruction set architectures used in smartphone chips and Apple’s Macs. Arm is currently owned by Japan’s SoftBank, although its headquarters are still located in Cambridge. The UK will also focus on compound semiconductors, which consist of different elements. Examples of compound semiconductors include gallium nitride, used in chargers, and silicon-germanium.
The UK’s plans follow chip laws enacted by various other countries and regions, including Europe and the United States. Countries aim to reduce dependence on other regions due to increasing geopolitical tensions. The EU recently reached an agreement on its Chips Act, which will allocate €43 billion to the chip sector. The funds will be made available as subsidies to chip manufacturers in the hope of encouraging them to build chip factories in Europe. The US allocated $52.7 billion last year for domestic chip production.
The current and former microelectronics companies of Britain include some high profile and notable companies.
ARM Holdings: ARM, headquartered in Cambridge, UK, is a globally recognized leader in semiconductor design. It specializes in creating low-power, high-performance processors used in a wide range of devices, including smartphones, tablets, and IoT devices. ARM’s innovative designs and licensing model have positioned it as a key player in the global chip industry.
Imagination Technologies: Imagination Technologies based in Hertfordshire, UK, focuses on creating advanced graphics processing units (GPUs) and intellectual property (IP) cores for various applications, including mobile devices, automotive systems, and more. Its technology has been widely adopted by major companies in the consumer electronics industry.
Dialog Semiconductor: Dialog Semiconductor, headquartered in Reading, UK, designs and manufactures integrated circuits (ICs) for power management and connectivity solutions. Its energy-efficient chips are used in a range of applications, including smartphones, tablets, wearables, and smart home devices.
CSR plc: Cambridge Silicon Radio (CSR) was a UK-based company specializing in developing wireless connectivity technologies. It played a pivotal role in the development of Bluetooth technology and provided Bluetooth chips for various consumer electronic products. In 2015, CSR was acquired by Qualcomm.
Wolfson Microelectronics: Wolfson Microelectronics, originally founded in Edinburgh, Scotland, was known for its high-performance audio solutions. Its audio chips were widely used in smartphones, portable media players, and other audio devices. In 2014, Wolfson Microelectronics was acquired by Cirrus Logic.
By: David Stevenson
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