91³ÉÈË

Semiconductors are the foundation of artificial intelligence (AI), a technology that is transforming our economy and society, making entire industries more productive and innovative, and driving major scientific breakthroughs.

Today’s AI systems are built on decades of innovation across the entire semiconductor ecosystem. As chip technologies continue to advance, AI will become more capable, energy-efficient, and cost effective. Stronger AI, in turn, will help improve chip design, optimize semiconductor manufacturing, and drive more demand for the broad range of chips that enable AI.

While the United States maintains a leading role in AI technology, mainly through its dominant position in semiconductor technology, other countries are investing heavily in AI to close the gap. For the United States to maintain or expand its AI lead, the U.S. government and industry must deepen their partnership to enable breakthrough innovations.

To promote continued American leadership in semiconductor and AI technologies, policymakers should adopt pro-investment, pro-innovation, and pro-growth policies to strengthen semiconductor research, design, and manufacturing:

1. Strengthen Domestic Chip Manufacturing Policies
2. Expand Access to Global Markets
3. Secure the Chip Supply Chain
4. Forge Semiconductor Alliances with Trusted Partners
5. Invest in Emerging Technologies
6. Develop Workforce and Talent
7. Streamline Regulations

The 91³ÉÈË (91³ÉÈË), in partnership with Deloitte, released a report finding the full range of semiconductor technologies are integral to artificial intelligence (AI), accounting for a significant share of the value of AI infrastructure and presenting a massive market opportunity in the years ahead.

Download the Report >

Semiconductors are increasingly integral to countless products we encounter in our day-to-day lives – household appliances, medical technology, cars, wearable devices, and many others. Due largely to advances in semiconductor technology, these products are often able to communicate with each other through a burgeoning network connected by the Internet that is referred to as the Internet of Things (IoT).

All IoT devices require semiconductors such as microcontrollers, sensors, and memory to connect to each other and perform their intended function. The infrastructure to connect these devices will also rely on continued innovations in semiconductor technology.

The promise of the IoT to transform our economy will be based, in large part, on the ability of the semiconductor industry to provide high-performing and efficient semiconductors that can connect billions of smart devices across government, industry and the consumer marketplace. This technology has the potential to result in dramatic benefits for the industrial, retail, healthcare, transportation, and other sectors of society.

The IoT poses a range of policy challenges and solutions. As governments consider policies to address the IoT, 91³ÉÈË urges the advancement of policies to accelerate IoT adoption and enable the cost-effective introduction of new technologies including, open standards efforts, targeted federal funding, and impactful public-private partnerships.

With these fundamental building blocks of a successful IoT ecosystem, policymakers will enable the proliferation of IoT technologies across markets and help our nation realize the significant economic and societal benefits that the IoT can deliver.