The UK Semiconductor Institute has been launched to support the government's Semiconductor Strategy, spearheaded by the Department for Science, Innovation and Technology and
MP Saqib Bhatti. Announced on 20 May 2024, this new independent body aims to advance the UK's semiconductor sector, supported by a £1 billion investment.
The Institute, operating independently from the government, will champion the industry's voice and serve as a central contact point to attract investors and foreign investment in British semiconductor research. It will unify efforts between the government, universities, and the private sector to bolster the UK’s semiconductor strategy.
The Institute's primary mission is to ensure that semiconductor researchers have the necessary tools and infrastructure to advance their work and transform innovations into market-ready products. As international semiconductor agreements expand, the Institute will also facilitate collaboration between UK technology businesses and international partners to enhance innovation, research, and commercialization.
Technology Minister Saqib Bhatti emphasized the importance of semiconductors to the economy, stating, "Our strategy aims to grow the sector by focusing on the strengths of the British chip industry. The UK Semiconductor Institute will consolidate our efforts to keep us at the forefront of semiconductor science, marking a crucial step towards becoming a science and tech superpower by 2030."
The Institute will align its focus with the key areas identified by the National Semiconductor Strategy, which highlights British strengths in compound chips, design, and R&D. It will also work to enhance specialist skills within the industry, building on the £4.8 million investment in eleven skills programs announced earlier this year.
Since the launch of the Semiconductor Strategy, the government has initiated several programs, including ChipStart, a pilot incubator for start-ups, and invested £22 million in Innovation and Knowledge Centres in Bristol and Southampton to promote new UK chip technologies globally. The UK has also secured access to Horizon Europe’s €1.3 billion Chips Joint Undertaking and enabled the UK Infrastructure Bank to invest in semiconductor manufacturers, exemplified by a £60 million contribution to Pragmatic’s latest funding round.
The establishment of the UK Semiconductor Institute follows extensive industry consultation and is a key component of the UK Semiconductor Infrastructure Initiative. This initiative, recommended by a report from the Institute for Manufacturing and supported by the Semiconductor Advisory Panel, marks a significant advancement in the UK's semiconductor strategy.
David Moore, CEO of Pragmatic said: “We were delighted to complete the largest European semiconductor venture raise in December 2023, co-led by UK Infrastructure Bank and M&G, with 70% of the round coming from UK investors. This funding will accelerate continued expansion of our manufacturing capacity in the Northeast of England taking volume from billions of flexible integrated circuits (FlexICs) to tens of billions per year.
As a UK-based semiconductor company, servicing a global customer base, we welcome efforts to provide access to technology to foster the growth of emerging businesses, drive the expansion of the sector talent pool and promote international partnerships. The institute represents a significant opportunity for building out new infrastructure in support of areas where the UK can lead on the global stage, including advanced materials and disruptive, new approaches to semiconductor manufacturing at scale”.
Julian David, CEO of techUK, said: “The establishment of a UK Semiconductor Institute is welcomed by techUK and other members of the Chips Coalition, including Global Tech Advocates and TechWorks. We have worked with UK government to develop the National Semiconductor Strategy and we look forward to turning that strategy into action.
We are confident that this Institute will serve as an authoritative and empowered body. By bringing together government, universities and the private sector, the Institute will be pivotal in advancing R&D, skills development, and fostering international collaboration. This collaboration will secure a robust and innovative future for the UK’s semiconductor landscape.
The Chips Coalition looks forward to continuing to engage with the government in this endeavour and to witnessing the positive impact this Institute will have on the UK’s growth”. Photo by David Woolfall, Wikimedia commons.