A new report from Accenture has found that three in four semiconductor executives expect supply chain challenges facing the industry to ease by 2024.
The report, “Pulse of the Semiconductor Industry: Balancing Resilience with Innovation,” surveyed 300 senior executives in the semiconductor industry who evaluate their companies’ supply chain outlooks and innovation roadmaps. According to the survey, 76 percent of the respondents felt supply chain challenges would ease by 2024 but that the industry would face other market pressures, which could be overcome by focusing on investments to drive future growth.
Nearly half (48 percent) also cited geopolitics as a lingering challenge, with 42 percent citing cybersecurity threats and 35 percent citing talent shortages. Two-thirds of the respondents said they believe that the rate of Moore’s law (the number of transistors in an integrated circuit doubles about every two years) will slow down by 2024. Additionally, 56 percent said that promoting strong IP protection and enforcement will enhance the industry’s resilience moving forward.
“As the demand for chips slows down amid inflationary concerns and an easing of the chip shortage, semiconductor businesses face a new set of challenges driven by geopolitics and a growing talent shortage,” said Syed Alam, global lead of Accenture’s High Tech industry practice. “To succeed, companies need to balance being resilient in tough times with continued investments in innovation.”
Areas of investment driving future semiconductor growth include the Metaverse, digital health, mobility, and sustainability.