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May 2025 Updates for Design Engineers


Read the latest semiconductor and electronics news and updates. 

 

In this edition:



Universal Programming: Insights from BPM Microsystems & McKinsey Electronics

In collaboration with BPM Microsystems, McKinsey Electronics hosted a live webinar on May 28, 2025, showcasing the latest advancements in universal device programming, an increasingly critical process in scalable electronics manufacturing. The session attracted engineers, OEMs and R&D teams from across the Middle East, Africa and Türkiye.


Global Participation and Industry Engagement 

The event brought together industry professionals from over 10 countries, with participation from leading companies including: Lear, TecSystem Orient, Advance Tech, Marquardt, AsteelFlash and many more, underscoring the growing global interest in secure and scalable programming solutions. 


Webinar Overview

The webinar introduced participants to BPM Microsystems’ 10th Generation Universal Programming Technology, with a focus on how it enhances efficiency, security and traceability in electronics manufacturing.


Key Topics Included:

Technology Deep Dive:

A detailed walkthrough of BPM Microsystems’ programming solutions, including socket-level diagnostics and secure provisioning. The session explored manual, semi-automated and automated systems, along with success stories from real-world implementations across various production scales.


Automation Showcase:

A live demo of BPM Microsystems’ automated programming machine demonstrated advanced features such as tray-to-tray and reel-to-reel programming. Attendees saw firsthand how automation improves throughput, quality and traceability.


ROI Comparison:

The webinar compared the return on investment between offline (standalone) programming and traditional in-circuit or onboard methods, highlighting cost efficiencies and scalability benefits.


Live Q&A Session:

An interactive discussion featuring international experts from BPM Microsystems and McKinsey Electronics, focusing on implementation best practices tailored for manufacturers in the MENA, Turkey and Africa regions.


Why It Mattered

Attendees gained practical insights into how secure device programming is now a mission-critical step in scalable manufacturing. As the ATME region grows into a competitive hub for electronics production, on-device security, traceability, and local support are essential for OEMs and R&D teams.



U.S. Tech Giants Forge Major AI Alliances in the Gulf Amid Strategic Shifts

During a high-profile tour of the Gulf region, U.S. President Donald Trump facilitated, this May, significant artificial intelligence (AI) partnerships between American tech firms and Middle Eastern nations, notably Saudi Arabia and the United Arab Emirates (UAE). These agreements, involving industry leaders Nvidia and AMD, aim to bolster AI capabilities in the region while countering China's growing technological influence.


In Saudi Arabia, Nvidia committed to supplying an initial batch of 18,000 of its advanced Blackwell GPUs to Humain, a newly established AI company backed by the Saudi Public Investment Fund. This move is part of a broader strategy to position the Kingdom as a global hub for AI innovation. Concurrently, AMD entered into a $10 Billion infrastructure deal with Humain to develop AI data centers and related technologies.


Meanwhile, the UAE secured an agreement to import up to 500,000 of Nvidia's high-performance AI chips annually, starting in 2025. A significant portion of these chips will support the construction of a massive AI data center in Abu Dhabi, a collaborative effort between Emirati tech firm G42 and U.S. companies, including OpenAI and Oracle. This facility, dubbed "Stargate UAE," is poised to become the largest AI campus outside the United States.


These deals mark a departure from previous U.S. policies that restricted the export of advanced AI technologies to certain regions due to security concerns. While proponents argue that these partnerships will strengthen U.S. alliances and economic interests in the Middle East, critics, including some lawmakers, express apprehension about potential risks. They caution that without stringent controls, there is a possibility that advanced AI technologies could be diverted to adversarial nations, undermining U.S. national security.


As the geopolitical scene gets more tangled, these strategic alliances underscore the importance of balancing technological advancement with national security considerations. The success of these partnerships will depend on effective oversight and collaboration between governments and industry stakeholders to ensure that the proliferation of AI technologies serves mutual interests without compromising security.

UAE to Challenge Gallium Supply Chain Dominance with New Abu Dhabi Initiative



In a strategic move to enhance the United Arab Emirates’ (UAE) footprint in the global critical minerals market, Tawazun Council, RTX (formerly Raytheon Technologies) and Emirates Global Aluminium (EGA) have signed a memorandum of understanding (MoU) to explore the production of gallium at EGA’s Al Taweelah alumina refinery in Abu Dhabi. This collaboration seeks to establish local extraction and refining capabilities for gallium, a critical mineral used in semiconductors, aerospace systems and next-generation electronics.


Gallium is essential for a range of high-tech applications, including 5G infrastructure, compound semiconductors (like GaN and GaAs), LED manufacturing, photovoltaic solar cells and advanced radar systems. Currently, China controls about 90% of global gallium output, raising serious concerns about supply chain security and access to strategic materials. By tapping into this opportunity, the UAE aims to become the second-largest producer of gallium worldwide, reducing global dependency on Chinese supply and reinforcing its own industrial resilience.


The initiative leverages existing infrastructure at EGA’s Al Taweelah facility, where trace amounts of gallium are already present in the refinery’s alumina production process. The feasibility study will assess the potential to extract and purify gallium at commercial scale, aligning with the UAE’s Operation 300bn, a national strategy to grow the industrial sector and reduce reliance on imports.

RTX’s Senior Vice President for Operations and Supply Chain, Paolo Dal Cin, emphasized that a stable gallium supply is vital for defense and aerospace innovation, stating that the partnership “puts us on a path toward a secure and diversified source of gallium.” Tawazun Council and EGA echoed this sentiment, highlighting the initiative’s role in enhancing local industrial capabilities and opening new revenue streams.


As the UAE builds momentum in critical minerals and semiconductor materials, McKinsey Electronics, a UAE-headquartered electronics distributor based in Dubai, is well positioned to support this transformation. With a strong presence across the Middle East, Africa and Turkey, McKinsey Electronics can facilitate the regional supply chain for gallium-based components and semiconductors. Leveraging its deep partnerships with global manufacturers and expertise in circuit advisory, McKinsey Electronics helps bridge the gap between raw material production and end-market application, thus empowering OEMs, R&D labs and high-tech manufacturers to integrate locally sourced gallium into advanced technologies.

Nvidia Adapts H20 AI Chip for China Amid U.S. Export Controls

In response to stringent U.S. export controls, Nvidia is reportedly developing a downgraded version of its H20 AI chip for the Chinese market, aiming for a release by July 2025. The original H20 chip, once Nvidia's most advanced AI processor available to Chinese customers, now requires an export license under tightened U.S. regulations, effectively barring its sale in China.


The modified H20 chip is expected to feature significantly reduced memory capacity and other limitations to comply with these restrictions. Despite the anticipated performance constraints, major Chinese technology firms such as Tencent, Alibaba and ByteDance have reportedly placed substantial orders, reflecting continued demand for Nvidia's AI hardware.


Nvidia CEO Jensen Huang has criticized the export controls as ineffective, noting a decline in the company's Chinese market share from 95% to 50% over four years. Huang argues that such policies have inadvertently accelerated China's efforts to develop domestic semiconductor technologies, potentially undermining U.S. companies' competitiveness in the global market.


The development of a downgraded H20 chip underscores Nvidia's strategy to maintain its presence in the Chinese market while navigating complex geopolitical and regulatory challenges. By offering a compliant product, Nvidia aims to continue serving its Chinese clients' growing AI infrastructure needs without violating export restrictions.


Nvidia's approach highlights the delicate balance between adhering to national security policies and sustaining international business relationships. The success of the modified H20 chip in China could set a precedent for how technology companies adapt to regulatory constraints while meeting market demands.



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