This policy brief sheds light on the current state of the chip design market in the EU, identify challenges and opportunities, and propose actionable recommendations to enhance competitiveness and innovation in the sector. The brief utilises a mixed-methods approach, building on a SWOT analysis that incorporates a review of existing literature, an analysis of industry reports, as well as insights from semi-structured interviews with actors in the semiconductor technology and policy space. Aimed at EU policymakers, semiconductor industry stakeholders, and academic scholars, provides a background on the functioning and importance of the chip design sector in Europe, followed by a comprehensive overview of the current challenges and opportunities that are matched with targeted policy interventions.
The report identifies that using the strategic use of existing policy instruments, enhanced legal frameworks, collaborative initiatives like Joint Undertakings, and focused efforts on the commercialisation of research, the EU is well-positioned to strengthen its competitiveness and innovation capacity in the chip design industry. It highlights the need to capitalise on these opportunities for a resilient and forward-looking semiconductor sector.
As part of the ALLPROS.EU project, this policy brief contributes to the wider goal of enhancing Europe’s digital sovereignty through the chips industry. The ALLPROS.EU Coordination and Support Action project, launched in 2022, supports the Alliance for Processors and Semiconductors. Through this, ALLPROS.EU develops tools that advance collaboration and knowledge exchange targeting the semiconductor ecosystem, promoting the European industry. Thus, the project supports the collaboration of industry, policymakers and academia to enhance the growth and resilience of the European semiconductor ecosystem.
Lead author: Ola Adach
Disclaimer
ALLPROS.eu has received funding from the European Commission’s Digital Europe Programme (DEP), under Grant Agreement No. 101083947. The content of this document does not represent the opinion of the European Union, and the European Union is not responsible for any use that might be made of such content.
The European Commission is not liable for any use that may be made of the information contained herein.
