[SINGAPORE] Singapore is in prime position to become a global hub for advanced chip packaging, which could become a cornerstone for local semiconductor industry growth in the next eight years.
This was one of five key opportunities for Singapore’s semicon industry identified in a study conducted by consulting firm Frost & Sullivan, and commissioned by the Singapore Semiconductor Industry Association (SSIA).
The Republic has traditionally been known as a front-end destination for semicon chips, which includes wafer fabrication, noted Frost & Sullivan’s managing director for the Asia-Pacific Ravi Krishnaswamy, who presented the study’s findings on Thursday (Jul 10). But this dynamic is now changing with the growth of advanced packaging and the amount of investments going into this sector, he added.
Another key opportunity for Singapore, he said, is in the area of artificial intelligence(AI)-enabled manufacturing. AI has helped to solve some challenges in the semicon industry, and tapping this technology can help to enhance Singapore’s global position in the value chain, he explained.
For instance, AI can help with creating more accurate semiconductor design models, enhancing performance before application. Yet, while there are 1,100 AI-related startups in Singapore, only “a very small number” focus on the semicon ecosystem. “So clearly, I think this is an area for focus and opportunity,” pointed out Krishnaswamy.
Opportunities for growth
Robotics-enabled manufacturing is another “high-priority” area identified by the study. While there are a lot of robotics companies in Singapore, noted Krishnaswamy, there are still gaps in terms of legacy tool handling, material transport and clean room compliance.
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“These are areas where, potentially, the SMEs (small and medium-sized enterprises) can collaborate with the MNCs (multinational corporations)… in terms of developing capabilities.”
To that end, the study also recommended initiatives which Singapore can consider tapping. One suggestion is to create a portal for semicon-related SMEs so that MNCs have a comprehensive database on the existing capabilities by local enterprises for collaborations.
Singapore can also consider creating an open innovation platform on which SMEs can bid for innovation projections to co-develop solutions for MNCs.
The final two suggestions are to integrate semicon projects into the national AI and additive manufacturing strategies, and to develop a road map for the Republic’s advanced packaging development.
Trusted destination
Krishnaswamy was speaking at SSIA’s annual Business Connect conference, which convenes executives across the global semiconductor value chain to discuss developments in the industry.
In his speech at the conference, Minister of State for Trade and Industry Alvin Tan said that Singapore remains a safe and trusted destination amid the current global uncertainties.
“We are constantly looking at how the situation changes, but in periods of uncertainty, I think businesses value safety and also trust,” he added. “And that’s what the Singapore brand offers.”
The government remains optimistic about the semicon industry and global trends such as AI and next-generation wireless communications.
Separately, SSIA signed a memorandum of understanding with Nanyang Polytechnic and the University of Singapore to co-develop the Certified AI Practitioner in Engineering AI Competency Framework.
“This national-level effort aims to establish clear certification standards, co-designed by industry and academia, to ensure the semiconductor workforce is equipped with critical AI skills,” said the trade association in a statement. It will lead industry promotion and adoption of the framework across its network.
