The European Council and the European Parliament have announced a provisional political agreement on the Chips Act, a regulation aimed at strengthening Europe’s semiconductor ecosystem.
Chips are small devices composed of semiconductors that can store large quantities of information or perform mathematical and logical operations. They are essential for a wide range of daily-use products, from credit cards to cars or smartphones, and are strategic assets for key industrial value chains.
With the digital transformation, new markets for the chip industry are emerging, such as highly automated cars, cloud, Internet of Things, connectivity, space, defense and supercomputers. Because of this, demand and market opportunities for chips and semiconductors are expected to grow substantially.
Currently, Europe is too dependent on chips produced abroad, according to the European Council. As a result, the industry and other strategic sectors such as health, defense and ene