Modern technology and semiconductors are inseparable entities. For decades, scientists have always kept pace with the speedy development of technology and have made remarkable strides in the microchip revolution. AI and IoT have arguably made innovative transformations in this industry. Additionally, development in internet networks such as the emerging of the 5G, has become a key pillar in shaping businesses’ performance. Accordingly, this coincides with the increasing demand for pumped-up computing devices, and fortunately enough, semiconductor manufacturers have a high chance to avail themselves in this market. Although their future may seem promising, no one can predict the future of these microchips— putting into perspective the current and potential obstacles that might intervene.
In a thoughtful approach, semiconductor manufacturers are seeking to implement realizable measures to likely “reimagine” the future of their business. To combat current and potential hazards that have tackled their production and supply process in the past two years, this plan is a cost-effective strategy— intended to enhance the performance of this industry: “Instead of massive silicon fabrication plants that need billions to fund and use huge amounts of water and energy, it is now financially viable to create smaller, more cost-effective fabs that can be set up in every state or county. These fabs can take advantage of innovative materials and streamlined manufacturing processes to sidestep the supply chain issues plaguing the industry.” Scott White, CEO of PragmatIC Semiconductor. Establishing local fabs is a fundamental solution that minimizes various industry-related expenses and effectively maximizes the use of materials and production metrics to foster supply chain conduct. Localized fabs are also more financially feasible as they are pretty much redeeming on all levels: they generate a lot of savings in shipping, capital costs, energy, and others.
While the future of semiconductors remains controversial, one can always see the other side of the coin by examining the available solution-based tactics and execute them when required. McKinsey Electronics is prominent in seeking proactive approaches that bridges the gap between existing boundaries. We aim at ramping up our chain of microchips supply and raising the bar on circuits redesign advisory— to consistently thrive in an ever-changing world! Visit our website to find out more about our worldwide services and check our solid portfolio here.