Vishay Newport
A Secure and Reliable Source of Advanced Chips
The future of semiconductors
As the UK Government has said, “Semiconductors are one of the five technologies of tomorrow, along with quantum, AI, engineering biology and future telecoms. They are critical to the UK’s economic and national security and to the strategic advantage we will secure on the global stage.” Vishay wants to play a role in securing that future.
The semiconductor industry is the fourth biggest in the world behind oil production, automotive and oil refining and distribution. Semiconductors are the technology behind many of the devices you use in your everyday life. The average car contains up to 3,000 semiconductors, and Vishay’s chips are in everything from the Mars Rover to the smartphone in your pocket. Any electronic device you can think of will likely have a semiconductor in it.
Securing the supply of essential technology
The pandemic highlighted the challenges of supplying those vital components, with the ‘global chip shortage’ delaying the production of everything from cars to gaming consoles. With 90% of advanced semiconductors manufactured in Taiwan, there’s a huge opportunity for Wales and the UK to support a greater diversity of supply, protecting national security and powering economic growth.
Faster Chips, Environmental Benefits
Today semiconductor manufacturers are shifting away from silicon-based chips to new, more efficient types – ‘compound semiconductors’ using materials such as silicon carbide, gallium nitride and potentially gallium oxide. These new compounds allow semiconductors to operate at higher temperatures, and enable speeds up to 100 times faster than traditional chips. As well as faster charging, this could reduce the strain on the grid, at a time when increasing numbers of consumer products, data centres and electric vehicles are having a major impact on our energy infrastructure.
Future Growth
The global compound semiconductor market is set to grow from $67 billion to $350 billion by 2030, and the UK is well placed to capitalise on that growth. With the backing of both the UK and Welsh Governments, we intend to expand Newport Wafer Fab, significantly increasing its production capacity, enabling it to produce millions of semiconductors and capitalise on domestic and global demand. The site has the potential to serve a wider range of sectors in Wales and the UK, including automotive, industrials, defence, telecoms, and computing. The world’s leading economies are in a race to invest substantial amounts into semiconductor development, to ensure security of supply and a long-term economic advantage. The US pledged $52bn in subsidies for manufacturing and research, while the EU drew up a €43bn investment plan for the sector. The UK Government has announced £1bn of support as part of the National Semiconductor Strategy.
High Skilled Jobs and UK Exports
This is creating and sustaining large numbers of high-skilled, well paid manufacturing jobs. According to an industry study conducted by Oxford Economics, for each semiconductor job almost six additional jobs are created in supply chains and the wider economy. Long term, we believe Newport Wafer Fab has the potential to bring significant benefits to the wider economy in Newport and Wales.
About Vishay
Vishay manufactures one of the world’s largest portfolios of discrete semiconductors and passive electronic components that are essential to innovative designs in the automotive, industrial, computing, consumer, telecommunications, military, aerospace, and medical markets. Serving customers worldwide, Vishay is The DNA of tech®. Vishay Intertechnology, Inc. is a Fortune 1,000 Company listed on the NYSE (VSH). More on Vishay at www.Vishay.com.