What are the key determinants of the possibility of building new high-tech microchip manufacturing companies?
What are the key determinants of the possibility of building new high-tech microchip manufacturing companies in a developing country where various new technologies are being developed but to date there are no high-tech chip manufacturing companies?
What type, what category of capital should a developing country have in order to be able to build its, nationally, a kind of new 'Silicon Valley', in which companies developing new technologies and basing their business models on new, highly advanced ICT information technologies and Industry 4.0 will function effectively?
Among the various factors of technological and developmental advantage of individual countries in terms of international comparisons, the possession of advanced technologies, including biotechnology, green energy technologies but also new ICT information technologies and technologies typical of the current fourth technological revolution, Industry 4.0 technologies, stands out. The possession of these technologies determines the possibilities for the development of many industries, including the manufacture of products that are increasingly produced as highly technological products equipped with, for example, microchips.
Microchips are no longer used only in computers, laptops, PDAs, tablets, smartphones, supercomputers built in research centres and further types of highly technological products, but also in white goods, consumer electronics, TV, motor vehicles, including cars, aircraft, military equipment, etc. and, more recently, in systems based on artificial intelligence being built and developed. Microchip production is associated with certain determinants for the development of other economic sectors as well. The production of microchips is a highly energy-intensive process. Therefore, it is also necessary to develop new, renewable and emission-free energy sources to supply electricity to, among other things, microchip production processes.
Currently, there are aspirations and research in many countries to identify opportunities for the development of advanced ICT and/or to create the conditions for the creation of a kind of next "Silicon Valley", including microchip manufacturing companies. As in the case of other industries, so in the case of new ICT information technologies and Industry 4.0, the key factors determining the possibility of building new companies producing advanced microchips include such basic categories of capital as financial capital, possession of research and development centres, science centres generating also the intellectual capital of the staff of employees, possession of modern lines and machine parks produced mainly by domestic industries, generating technological and production capital, with which industrial plants and companies included in technological sectors are equipped. However, this is not all that is required to build a thriving sort of new, next "Silicon Valley" and to be able to be at the forefront of the new ICT information technologies, Prezmysł 4.0, including the production of highly technological microchips. Perhaps among the mentioned key determinants of the development of technology companies are new specific business models, new styles of management, personnel management and motivation to create technological innovations. In addition, perhaps the key factors determining the development of technology companies should also include a highly economically efficient mix of flexible pro-development economic policies, including policies to support the development of science, scientific research, the development of research and development centres, policies to develop innovation; systemically developed highly efficient corruption-free financial support programmes from the state's public finance system; a friendly economic policy for the development of innovative startups; modern ownership models and shareholding structures of technology companies, research institutes and research and development centres, etc.
In view of the above, I address the following question to the esteemed community of scientists and researchers:
What type, what category of capital should a developing country have in order to be able to build its, nationally, a kind of new "Silicon Valley" in which companies developing new technologies and basing their business models on new, highly advanced ICT information technologies and Industry 4.0 will function effectively?
What are the key factors determining the feasibility of building new modern microchip manufacturing companies in a developing country where various new technologies are being developed but modern microchip manufacturing companies do not exist to date?
What are the key determinants of the possibility of building new high-tech microchip manufacturing companies?
What are the key determinants of the development of highly technological industries?
What do you think about this topic?
What is your opinion on this subject?
Please respond,
I invite you all to discuss,
Thank you very much,
The above text is entirely my own work written by me on the basis of my research.
I have not used other sources or automatic text generation systems such as ChatGPT in writing this text.
Copyright by Dariusz Prokopowicz
Best regards,
Dariusz Prokopowicz
The development of highly technological industries is influenced by a variety of factors. Here are some key determinants that play a significant role:
It's important to note that these determinants can interact and influence each other. Successful development of highly technological industries often requires a combination of these factors working in tandem to create an ecosystem conducive to innovation and growth.
К выше сказанному следует добавить, что в настоящий момент собственное производство микроэлектроники на фоне обострения ситуации вокруг Тайваня, где размещено основное мировое производство микроэлектроники, рассматривается многими государствами как элемент собственной безопасности. В таких случаях на первое место может выходить не экономическая эффективность, а технологическая непреодолимая потребность.
Также стоит обратить внимание на то, что развёртывание производства микроэлектроники в той или иной стране во многом зависит от наличия соответствующего оборудования, которое на высоком технологическом уровне делается только в одной стране, находящейся в Европе.
This could be called a $1 million question. ;- ) I know you didn't ask for the following answer, sorry. But I don't see that a developing country can, nor should, build relevant mircochip manufacturing.
I see three main reasons for not being able to:
1. it takes too long and is too expensive: building a single fab is said to take three to five years and cost up to ten billion dollars.
2. neither the European Union, nor the U.S., nor China has yet succeeded in becoming even close to autonomous in chip manufacturing. I see no reason why a developing country with much worse preconditions should be successful here.
3. a developing country is likely to lack a conducive industrial environment in which to use the chips it produces. A pure export business will not be in the interest of other countries, which are currently striving to reduce their dependence on Taiwan.
I see two main reasons for "not should":
1. the necessary financial means can certainly be used more sensibly in a developing country, for building up/supporting the food industry, regenerative energy supply, expanding the logistical system, health care, etc.
2. the development of a relevant chip production weakens the position of Taiwan, which would of course be in the Chinese interest. Its supremacy in chip manufacturing gives Taiwan some protection from China, which is also dependent on Taiwan in this regard, and negotiating leverage and influence internationally. A change in this situation would allow China to conquer militarily with all the global devastation that is likely to be much greater than that now resulting from the Russian attack on Ukraine.
The development of highly technological industries is influenced by several key determinants. These determinants play a crucial role in shaping the growth, innovation, and competitiveness of such industries
The key determinants of the development of highly technological industries are not clear-cut and can vary depending on the industry and the country. However, some of the factors that can contribute to the development of highly technological industries are:
The development of highly technological industries is influenced by several key determinants. Adequate investment in research and development (R&D) enables the exploration of new technologies and scientific breakthroughs. A skilled workforce with access to quality education and training is crucial for understanding and applying advanced technologies. Infrastructure, including physical and digital components. Supportive policies, such as tax incentin.
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