Competition, open innovation, and growth challenges in the semiconductor industry: the case of Europe’s clusters

Robert Huggins, Andrew Johnston, Max Munday and Chen Xu

Science and Public Policy, 2023, vol. 50, issue 3, 531-547

Abstract: In recent years, public policymakers in Europe have become increasingly aware of the need to support Europe’s failing semiconductor industry. This is an emerging policy area, and this paper examines the current state of the industry in Europe and assesses its potential future. It contends that the competitiveness of the industry will be related to its innovative capacity, especially its capability to engage in processes of open innovation. The industry in Europe is largely located in a number of discrete regional clusters, and the analysis focuses on data collected from a series of interviews with lead representatives of these clusters. The analysis indicates that the challenges facing the industry stem from the structure of the industry in Europe and the structure of the wider European technology industry. It is concluded that policies, such as the introduction of the European Chips Act, are likely to have a limited, or even negative, impact on the types of open innovation–led growth that will improve long-term competitiveness.

Keywords: competition; open innovation; clusters; semiconductors; Europe (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:oup:scippl:v:50:y:2023:i:3:p:531-547.

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