The global semiconductor industry is experiencing an unprecedented talent shortage. Deloitte's latest report points out that this will seriously affect the future development of the industry. The report predicts that by 2030, the global semiconductor industry revenue will reach US$1 trillion, but more than 100,000 new skilled workers will be needed every year to achieve this goal. The editor of Downcodes will interpret this report in detail for you and analyze the talent challenges and response strategies faced by the global semiconductor industry.
Recently, Deloitte released a report stating that the global semiconductor industry is experiencing a severe talent shortage. The report shows that by 2030, the revenue of the global semiconductor industry is expected to reach US$1 trillion, but to achieve this goal, the industry needs to add more than 100,000 new skilled workers every year.
With the rapid development of advanced technologies such as generative artificial intelligence (GenAI), the semiconductor industry has an increasing demand for highly skilled talents. However, fierce competition in the industry makes attracting and retaining these talents increasingly difficult. Deloitte's research also highlights that the semiconductor industry has an older workforce and lacks effective succession planning. In addition, the attractiveness of the industry is relatively low compared with other technology industries, and young people tend to choose more “fashionable” companies.
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Globally, localization of manufacturing and growing demand are also exacerbating talent shortages. Semiconductor companies face the same competition for talent and find it difficult to find enough suitable candidates. Deloitte predicts that the global semiconductor industry needs to increase investment in talent training, especially in the United States and Europe, where governments are also actively launching relevant policies to encourage companies to focus on employee training.
Although the revenue of the semiconductor industry fell by 9% in 2023 due to cyclical factors, it is expected to rebound by 16% in 2024. Facing future challenges, semiconductor companies must optimize their talent strategies to ensure that they can meet market needs.
Not only that, Deloitte’s survey shows that 72% of industry leaders believe that generative artificial intelligence will play an important role in the semiconductor industry. While this technology could help alleviate some of the engineer shortage, the skills remain scarce. Companies need to be more proactive in attracting these scarce talents, offering more attractive benefits and career development opportunities.
Globally, countries are facing similar talent crises. The semiconductor industry in many countries faces a huge shortage of skilled workers, especially India and Europe. It is expected that India's semiconductor industry will be short of 250,000 to 300,000 professionals by 2027, while the European Union is expected to need to add 400,000 workers to achieve its goal of doubling market share.
Deloitte recommends that semiconductor companies should focus on the training and development of talents to ensure that they can adapt to future market changes. Increasing the attractiveness of the industry through cooperation with educational institutions are important measures to address the talent shortage.
Highlight:
- ? The global semiconductor industry is expected to reach US$1 trillion in revenue by 2030, but will need to add more than 100,000 skilled workers every year.
- ?? With the rapid development of generative artificial intelligence technology, the industry's demand for high-level skilled talents is increasing, but competition for talents is fierce.
- ? The semiconductor industry in many countries is facing a serious talent shortage, especially India and the EU, and needs to increase training and development efforts to meet future challenges.
All in all, the talent shortage problem in the global semiconductor industry is urgent. The industry, government and educational institutions need to work together to effectively respond to this challenge and ensure the sustainable and healthy development of the industry by strengthening talent training and improving the industry's attractiveness. The editor of Downcodes hopes that this report can provide a useful reference for industry development.