Semiconductors, also known as microchips or simply “chips,” are crucial components of virtually all modern electronic devices, from smartphones and computers to cars and advanced weapons systems. They are at the heart of information technology, artificial intelligence, 5G networks, and more.
The term “Chip Wars” refers to the strategic competition, often on a global scale, surrounding the semiconductor industry.
Protectionism refers to policies designed to protect domestic industries from foreign competition. In the context of the chip wars, protectionist measures could include things like restrictions on the export of advanced chip-making equipment, subsidies for domestic semiconductor industries, or requirements for foreign companies to share technology in exchange for market access.
A Focal Point Of Economic And Geopolitical Tension
Supply Chain Vulnerabilities
The COVID-19 pandemic and the resulting surge in demand for electronics (as more people work and study from home) exposed vulnerabilities in the semiconductor supply chain. Demand outstripped supply, leading to widespread chip shortages.
Geopolitical Tensions
The global nature of the semiconductor supply chain, where design, manufacturing, and assembly operations are spread across multiple countries, has led to geopolitical tensions. For instance, the US and China have been locked in a struggle over access to and control of advanced semiconductor technology.
Technological Competition
Advanced chips are a key enabling technology for cutting-edge sectors such as AI, quantum computing, and 5G. The race for technological supremacy, particularly between the US and China, adds another layer of tension.
- Semiconductor Primer: The Materials For Its Recipe
- Semiconductor Primer: Country Leadership
- Semiconductor Primer: Global Value Chains
- Semiconductor Primer: National Innovation Systems or NIS
- Semiconductor Primer: Industrial Policy Analysis
- Semiconductor Primer: Geopolitical Analysis
- Semiconductor Primer: Technology Lifecycle Analysis
- Semiconductor Primer: Network Analysis
- Semiconductor Primer: What Is The Global Value Chain Analytical Framework
- Semiconductor Primer: History Of Taiwan In The Industry
- Semiconductor Primer: The Political Economy Of Semiconductors In Taiwan
- Semiconductor Primer: Protectionism Policies
- Semiconductor Primer: The World’s Biggest Companies
- Semiconductor Primer: When Digital Meets The Foundry
