Growing Challenges for the Semiconductor Design Industry: The United States Cannot Take Leadership for Granted

If an adversary could design and deploy chips more advanced than those in use by the United States, it could win a commanding advantage in every aspect of military preparedness, up to and including a major conflict. In global competition for high-tech industry, there is arguably no parallel for the sheer scale of China’s commitment of public resources to the semiconductor industry.

U.S. policymakers need to recognize the strategic importance of the chip design sector and the unprecedented challenges it faces. To realize the new Trump administration’s goal of sustaining U.S. technology leadership in semiconductors, doubling down on support, backed by substantial and sustained investments and incentives, is essential. 

This report is made possible by general support to CSIS. No direct sponsorship contributed to this report.

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Charles Wessner
Senior Adviser (Non-resident), Renewing American Innovation

Thomas Howell

Consultant, Renewing American Innovation