Australian Semiconductors

Australian Semiconductors

Semiconductors, often referred to as ‘chips’, are the electronic ‘engines’ underlying almost all technology applications, and hence a significant proportion of regional, national and global industry development, economic performance and growth. Chips perform all the calculations in computers (digital logic), industrial control systems in manufacturing, traffic control systems, medical devices, aircraft, to name but a few applications and markets. Other kinds of chips store data, as memory, in computers, servers and data centres. Still other types of chips create and receive radiofrequencies (RF) as the backbone of all wireless communication systems.

The semiconductor sector is a global engine for technology, economic and social progress within high participant countries. The semiconductor global value chain is among the most complex, capital intensive, extended and dynamic of any industry. It is intrinsically linked to the performance of high technology, which drives much of our digitally dominated present and future. Increasingly the sector is also seen as an important theatre of national and international security concern.

Australia’s semiconductor sector is relatively small compared to some other economies, but Australia is not without areas of strength and strategic significance. With a long-term view and commitment, there is potential for NSW and Australia to increase their participation in the global semiconductor value chain. The very dynamism and change which has characterised the last 40 years of the semiconductor industry – and allowed countries such as Taiwan and Singapore to emerge and prosper – will only increase over the next 40 years. This presents an opportunity for new participants, such as Australian firms with new products, processes or business models, to enter and prosper in the global semiconductor value chain and related industries.