Ramiro Palma

Chips are integral to the 21st century economy, from connected vehicles and data centers to mobile devices, AI, and streaming platforms. Booming demand will drive a projected $2.3 trillion investment in wafer fabrication capacity alone in 2024–2032. Fab capacity growth is exerting a “pull effect” on the rest of the semiconductor supply chain in design; materials; equipment; assembly, test, and packaging (ATP); and other segments.

Semiconductors have a supersized impact on the global economy. Our experience along the full semiconductor value chain helps industry players, OEMs, and public sector clients navigate a shifting landscape. It’s hard to overstate the technical complexity, economic interdependencies, or global importance of the semiconductor industry. The challenges industry stakeholders are facing are both unique and formidable as well.

Two trends broadly affecting the semiconductor industry threaten to significantly increase its carbon emissions from around 0.3% of total global emissions today. First, demand for chips is accelerating. Virtually every modern industrial and consumer device—from children’s toys to rocket ships, and from the smallest appliance to the biggest automobiles—as well as most daily activities, such as sending an email, ultimately run on semiconductors.