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Review of the European semiconductor industry

Review of the European semiconductor industry

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This review of the major European national states shows that, compared with the situation in the USA and Japan, the developing Western European semiconductor industry has suffered significant disadvantages, namely a general lack of cohesion, each government pursuing a separate strategy with no attempt being made to work to a co-ordinated plan. Financial institutions have, in varying degrees, proved inadequate in providing sufficient financial support to enable a healthy industry to develop. The general weakness of the Western European semiconductor industry has been accentuated by strong foreign penetration of the home market, and this situation has been assisted by lack of a common response from Western European governments. With research and development facilities often underfunded and with relatively small investment within the important area of production development, a significant technical lag has remained a constant factor throughout the history of the industry. Like its Western European counterpart, the semiconductor industry in Eastern Europe is relatively weak when compared with that of the USA and Japan, although for different reasons. Confronted with a strategic trade embargo, and denied the dubious benefits of foreign economic penetration, a consistent technical lag has also been present, in spite of an early beginning in device manufacture. Owing to lack of information regarding funding of the Eastern European industry, it is impossible to assess the effect this factor may have had upon its development.

Inspec keywords: semiconductor industry; government

Other keywords: United States; technical lag; production development; financial support; Japan; European governments; European semiconductor industry

Subjects: Project and production engineering

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