Silicon Island: Ireland’s Grand Strategy for Semiconductor Sovereignty

Introduction: A Strategic Inflection Point for Ireland—and for European Partnerships

In May 2025, the Government of Ireland released its first-ever National Semiconductor Strategy—a landmark initiative designed to elevate the country’s role in the global semiconductor ecosystem. Titled “Silicon Island”, the strategy signals Ireland’s intent not only to strengthen its foothold in microelectronics but to become a leading player in the European and global chip economy. This moment is not coincidental. It follows a turbulent few years in the global supply chain, where the COVID-19 pandemic, rising geopolitical tensions, and a series of manufacturing bottlenecks led to widespread chip shortages. These shortages exposed the fragility of international dependencies and served as a wake-up call for industrialised nations, prompting urgent efforts to regain technological sovereignty.

Semiconductors are often described as the "oil of the digital age"—and rightly so. They underpin nearly every domain of modern life: from smartphones and medical diagnostics to electric vehicles, artificial intelligence, and satellite systems. The global semiconductor market, valued at approximately $600 billion in 2022, is projected to exceed $1 trillion by 2030, with demand accelerating across sectors and geographies. The number of chips per device is also rising exponentially. A modern electric vehicle now contains over 3,000 semiconductors—double the number just five years ago. Against this backdrop, governments and industries alike are racing to secure access, build capacity, and reduce exposure to external shocks.

Ireland’s ambition is to stake a claim in this new industrial era—not merely as a passive recipient of global investment, but as a proactive architect of research, manufacturing capability, talent development, and European cooperation. While the strategy is deeply rooted in Ireland’s national context, it is equally European in vision. In particular, it opens significant avenues for structured collaboration with France, whose semiconductor ambitions, R&D excellence, and industrial capacity closely align with Ireland’s own. As this article explores, the Silicon Island strategy is not just about national growth—it’s about creating new foundations for bilateral and continental partnerships in one of the most strategic sectors of the 21st century.

Building on Strong Foundations: Ireland’s Semiconductor Legacy and Strategic Advantage

Ireland’s entry into the global semiconductor arena did not begin in 2025. Rather, the Silicon Island strategy builds on over five decades of accumulated expertise, foreign direct investment, and policy consistency. Since the 1970s, Ireland has been cultivating an environment conducive to high-tech manufacturing and innovation. The arrival of Intel in 1989 marked a turning point, triggering a cascade of subsequent investments. Today, 15 of the world’s top 30 semiconductor companies have operations in Ireland, including Advanced Micro Devices (AMD), Analog Devices, Qualcomm, Cadence, and Infineon. Intel alone has invested over $30 billion in Ireland since its arrival, with recent announcements pointing to further expansion at its Leixlip campus.

Ireland's attractiveness stems from a combination of factors: a stable and business-friendly policy environment, a highly skilled workforce, and seamless access to the European Single Market. With a corporate tax rate of 12.5% and now a commitment to the OECD minimum of 15% for large multinationals, the country still maintains an appealing fiscal regime. But beyond tax, Ireland offers something equally critical—talent. Over 60% of 25–34 year-olds in Ireland hold a third-level degree, one of the highest rates in Europe. In 2024 alone, Irish universities graduated over 5,000 engineers in electronics, computer science, and materials science, feeding directly into the microelectronics and ICT sectors.

The strength of Ireland’s existing semiconductor ecosystem is also visible in its research and innovation institutions. The Tyndall National Institute in Cork, for example, is home to Europe’s leading centre for micro- and nanoelectronics research, while the Microelectronic Circuits Centre Ireland (MCCI) connects academia with industry on integrated circuit design. Meanwhile, Enterprise Ireland’s network of Technology Gateways supports SMEs and start-ups across the electronics and hardware value chains. These organisations form the backbone of a dense and collaborative innovation landscape.

Between 2020 and 2023, Ireland ranked among the top three countries in Europe for semiconductor-related capital investment and job creation. According to IDA Ireland, over 20,000 people are directly employed in the semiconductor and microelectronics sector, with several thousand more in indirect roles supporting logistics, utilities, and advanced manufacturing. This is not a nascent sector—it is a strategic asset, one that has earned global recognition and is now positioned to scale into a new phase of development.

The Strategic Framework: Ireland’s Alignment with the European Chips Act

At the heart of Ireland’s Silicon Island strategy lies a clear recognition: the future of semiconductors is deeply intertwined with European sovereignty, technological resilience, and economic security. In this regard, Ireland is not acting alone. The National Semiconductor Strategy is designed to align closely with the European Union’s Chips Act, adopted in 2023, which aims to double Europe’s global share in semiconductor production to 20% by 2030. The Act sets out a coordinated framework involving over €43 billion in combined public and private investment across the EU, with the goal of re-shoring critical capacities and securing supply chains across the chip value chain.

Ireland’s participation in this continental effort is both strategic and timely. As a small but agile Member State with a proven track record in high-tech FDI and research excellence, Ireland is uniquely positioned to implement EU-level ambitions with speed and precision. The Chips Act is built around three pillars: the “Chips for Europe” initiative (focused on R&D and pilot lines), a framework for securing the supply of semiconductors (via large-scale investments in fabs and packaging facilities), and a crisis response mechanism to anticipate and address market disruptions. Ireland is actively engaged in all three pillars through its national advisory structures and membership of the European Semiconductor Board.

One of the most notable Irish contributions to the Chips Act ecosystem is its participation in the first IPCEI on Microelectronics and Communication Technologies (IPCEI ME/CT). In this initiative, Analog Devices Ireland is leading major R&D and manufacturing projects backed by €630 million in investment. The Limerick-based expansion will triple the company’s European wafer capacity and create 600 new jobs in high-value engineering and research roles. This flagship project is a direct embodiment of the Chips Act’s ambition to scale Europe’s innovation capacity and supply resilience.

Ireland is also building internal mechanisms to ensure policy coordination and industry engagement. A new Semiconductor Advisory Council has been established to guide the strategy’s implementation. This cross-sector body brings together government departments, research organisations, multinationals, and indigenous companies to track progress and adapt to changing global conditions. It will work in concert with the proposed Irish Competence Centre in Semiconductors, which will serve as the main national channel for accessing Chips Act programmes such as pilot production lines, foundry access, and talent initiatives.

In parallel, the Irish government is embedding the semiconductor strategy into its broader industrial and digital transformation agenda. The Silicon Island strategy is designed to complement other flagship initiatives, such as Ireland’s National Digital Strategy (Harnessing Digital), its AI strategy, and its newly launched National Quantum Technologies Strategy. By integrating these overlapping domains, Ireland positions semiconductors not as a standalone sector, but as a cornerstone of its future industrial and digital economy.

As the EU reorients its priorities around open strategic autonomy, Ireland is demonstrating its ability to turn alignment into action. The country’s role is not simply to implement Brussels’ vision, but to shape it—through agile execution, international partnerships, and a growing domestic capacity to innovate at scale.

Developing the Full Semiconductor Value Chain: From Research to Manufacturing

A core strength of Ireland’s Silicon Island strategy lies in its integrated approach to the semiconductor value chain. Unlike strategies that focus narrowly on one stage—typically manufacturing or design—Ireland’s ambition is to become competitive across the entire continuum: research, design, fabrication, packaging, testing, and distribution. This holistic vision is critical to ensuring that Ireland can host high-value activities that not only attract foreign investment, but also foster indigenous capabilities and resilience.

The global semiconductor value chain is one of the most complex industrial systems ever created. A single chip may travel more than 25,000 kilometres during its production cycle, involving over 1,000 steps across multiple countries. This fragmentation leaves the industry vulnerable to bottlenecks, geopolitical shocks, and supply shortages—as seen during the 2020–2023 global chip crisis. In this context, Ireland’s goal is not to replicate every stage of the value chain, but to specialise in high-impact segments while embedding them in a secure and scalable ecosystem.

In the design and research stages, Ireland is already a European leader. Fabless companies such as Cadence, AMD, and Qualcomm operate advanced design centres in Dublin, Cork, and Limerick. These firms develop architectures for logic, analog, and mixed-signal chips that power everything from smartphones to supercomputers. Cadence’s Cork facility, for instance, has been designated as its European R&D Centre of Excellence and employs over 250 engineers working on next-generation electronic design automation (EDA) tools. The region’s proximity to Tyndall National Institute and University College Cork offers a robust pipeline of engineering talent and research collaboration.

In terms of manufacturing, Ireland hosts one of Europe’s most advanced semiconductor fabrication facilities: Intel’s Fab 24 campus in Leixlip. Intel’s site, which focuses on leading-edge nodes for microprocessors, has received over $30 billion in cumulative investment. Complementing this, Analog Devices manufactures high-performance analog ICs and MEMS devices in Limerick, with a strong emphasis on quality, reliability, and scale. These manufacturing capabilities, while not on the scale of Asian mega-fabs, are nevertheless globally competitive and strategically important for Europe.

Ireland is also investing heavily in the emerging area of semiconductor packaging and testing. These stages, once considered lower-value, are now recognised as critical due to trends like heterogeneous integration (the combination of different types of chips into a single package). The Tyndall National Institute and IPIC (Irish Photonic Integration Centre) are leading research on advanced packaging methods, including chiplet integration, 3D stacking, and photonic interconnects. These innovations not only increase performance but also improve energy efficiency—an essential requirement for data centres and high-performance computing systems.

Beyond technical processes, the strategy also recognises the importance of distribution, supply chain management, and access to materials and tools. Ireland is home to companies like YieldHub, which provide yield management software to streamline production and reduce defects. YieldHub’s platform, developed in Limerick, has scaled internationally and is used by firms across Asia and North America. Similarly, firms like Mbryonics in Galway are developing photonic subsystems for space and satellite communications, reflecting the value-added potential of niche Irish firms in global semiconductor ecosystems.

To support these ambitions, the Irish government has committed to developing “next-generation sites” with the full array of utilities and zoning approvals needed for semiconductor manufacturing. IDA Ireland is currently assembling a portfolio of sites with over 500 acres each, equipped with power, water, transport, and broadband infrastructure. These sites will be marketed to both established players and new entrants looking to establish manufacturing footprints within the EU’s regulatory and supply chain perimeter.

By embracing this full-spectrum approach, Ireland avoids the vulnerability of being a mono-nodal player and instead builds a layered, interconnected, and innovation-driven semiconductor sector. The value chain becomes not just a sequence of activities, but a web of capabilities, partners, and opportunities that together form a national competitive advantage.

Innovation and Deeptech: Ireland’s Bet on the Next Generation of Semiconductor Technologies

One of the defining pillars of Ireland’s Silicon Island strategy is its commitment to embedding innovation and deeptech at the heart of its semiconductor policy. In an industry defined by constant technological evolution, the capacity to generate cutting-edge research, turn it into commercial applications, and rapidly scale breakthrough technologies is essential. Ireland aims to lead not just by being a competitive location for current semiconductor production, but by laying the groundwork for tomorrow’s technologies—those that will power the next wave of AI, quantum computing, photonics, and secure communication systems.

To support this ambition, Ireland has built a formidable network of research institutions and innovation centres that bridge academia and industry. The Tyndall National Institute in Cork, one of Europe’s premier microelectronics research centres, is a cornerstone of this ecosystem. It houses a complete silicon fabrication cleanroom, research programmes in nanoelectronics, photonics, and quantum technologies, and active collaborations with over 200 companies globally. Tyndall’s strategic plan includes a major expansion that will double its physical footprint over the coming years, increasing lab space and pilot manufacturing capacity.

Alongside Tyndall, the IPIC (Irish Photonic Integration Centre) and MCCI (Microelectronics Circuits Centre Ireland) drive excellence in integrated photonics, circuit design, and advanced packaging. These institutions form the bedrock of Ireland’s national capabilities in frontier areas such as neuromorphic computing (chips that mimic the brain), quantum photonics, and chiplet-based architectures. In total, these centres employ hundreds of researchers and PhD students and collaborate with global players like Intel, Analog Devices, and Eblana Photonics. They are also heavily involved in EU-funded programmes, including Horizon Europe and Digital Europe, through which they access world-class infrastructure and transnational research networks.

Ireland is also cultivating a thriving deeptech start-up ecosystem in semiconductors and adjacent sectors. Start-ups like Altratech (biosensing chips for point-of-care diagnostics), Mbryonics (optical communication subsystems for satellites), and Pilot Photonics (integrated frequency comb sources) exemplify Ireland’s potential to generate novel IP and new markets. These companies often emerge from publicly funded research and benefit from structured commercialisation pipelines supported by Enterprise Ireland. Programmes such as the Commercialisation Fund and Innovation Partnership Programme enable high-risk, high-reward research to make the leap from lab to market, with follow-on support for scaling and exports.

In 2024 alone, Irish deeptech start-ups in semiconductors and photonics secured over €30 million in European Innovation Council (EIC) Accelerator funding—one of the highest per capita success rates in the EU. Altratech, for example, was awarded €10.5 million to support clinical trials and manufacturing scale-up of its CMOS-based diagnostic platform, while Mbryonics received €17.5 million to build a photonic component fabrication centre in Galway.

Crucially, Ireland’s strategy recognises that innovation is not just about technical excellence—it requires coordinated policy support, talent development, and access to capital. To this end, Enterprise Ireland and Knowledge Transfer Ireland (KTI) are working to expand the country’s deeptech pipeline. This includes targeted programmes like KT Boost, which funds university-based start-up development teams and helps scale technology transfer offices (TTOs). Enterprise Ireland also supports the creation of high-potential start-ups (HPSUs) in semiconductors and ensures their integration into broader EU initiatives such as the European Chips Act’s Competence Centres.

Ireland is now positioning itself to become a European hub for semiconductor innovation, not only through core research, but by commercialising and scaling technologies with transformative impact. The government has made clear that future growth must be innovation-led, and semiconductors are at the centre of this vision. By placing bold bets on advanced R&D, investing in national platforms for photonics and quantum chips, and nurturing early-stage companies in emerging verticals, Ireland is taking the steps needed to ensure it plays a leading role in the next era of computing and communications.

Human Capital: Building Ireland’s Semiconductor Workforce of the Future

No semiconductor strategy can succeed without people. The complexity of chip design, manufacturing, packaging, and testing requires a highly specialised, multidisciplinary workforce. Engineers, physicists, chemists, software developers, cleanroom technicians, materials scientists, and AI specialists must all work together to advance this strategically vital sector. Ireland’s Silicon Island strategy places the development of talent at its core, recognising that without a strong and sustainable skills pipeline, investment and innovation will falter.

Today, the Irish semiconductor sector directly employs over 20,000 people, with approximately 6,500 in highly technical roles and 3,000 in research and development. However, these numbers will need to grow significantly if Ireland is to meet its ambition to become a European leader in semiconductor manufacturing and design. According to projections included in the national strategy, the country will need to train and recruit at least 6,000 additional professionals over the next five years—many of them in areas experiencing global skills shortages such as photonics, IC design, process engineering, and advanced packaging.

Ireland already has strong foundations. Its higher education system ranks among the best in Europe in STEM education, with over 60% of 25–34 year-olds holding a third-level qualification. Irish universities and technical institutions produce more than 5,000 graduates annually in engineering, materials science, physics, and computer science—many of whom feed directly into the semiconductor and ICT industries. Moreover, institutions such as University College Cork, Dublin City University, University of Limerick, and Munster Technological University have developed specialised curricula to support microelectronics, quantum engineering, and photonic systems.

However, the Silicon Island strategy goes further by outlining a national plan to enhance and expand this skills base. The government, in partnership with the Department of Further and Higher Education, Research, Innovation and Science, is investing in new training programmes at undergraduate, postgraduate, and vocational levels. The strategy also proposes the establishment of a dedicated Irish Competence Centre in Semiconductors under the framework of the European Chips Act. This Competence Centre will serve as a focal point for skills mapping, curriculum development, and EU-level talent initiatives, including mobility schemes, internships, and lifelong learning.

Beyond formal education, Ireland is scaling up industry-led training and reskilling. The MCCI Skillnet and Technology Ireland’s Skillnet programmes are already providing specialised courses in IC design, cleanroom operations, and embedded systems. In parallel, Enterprise Ireland and IDA Ireland are co-developing training support packages with major employers to upskill existing staff and align new recruits with rapidly evolving technological demands.

Another strategic axis of the plan involves making careers in semiconductors more visible and attractive—particularly to young people and underrepresented groups. A national outreach campaign is being developed to showcase the societal impact of microelectronics—from powering AI to enabling medical diagnostics and space exploration. The strategy also highlights the importance of diversity and inclusion, noting that only around 20% of Ireland’s semiconductor workforce is currently female. Incentives for inclusive hiring, mentorship programmes, and gender-balanced training initiatives will be expanded.

International talent attraction is also a major component. With the tightening of global labour markets and heightened competition for advanced engineering talent, Ireland is working to streamline its visa, relocation, and residency processes for semiconductor professionals and their families. IDA Ireland and the Department of Justice are collaborating to promote Ireland as a destination for high-skilled global talent, especially from countries with deep semiconductor knowledge such as India, Taiwan, South Korea, the U.S., and EU member states.

In short, Ireland’s strategy recognises that talent is not an afterthought—it is the engine of long-term success. By coordinating government, academia, and industry, the country is investing in the people who will design the chips of the future, scale production, and anchor Ireland’s place in the high-tech world economy.

Infrastructure and Investment: Enabling Industrial-Scale Growth in a Competitive Landscape

Semiconductor manufacturing is among the most capital- and infrastructure-intensive activities on the planet. A single fabrication plant (“fab”) can cost between $5 billion and $20 billion to build and operate, requiring a stable energy supply, high-grade water systems, reliable logistics, and resilient digital infrastructure. To compete globally for such investments, Ireland must not only offer financial incentives or talent—it must deliver a fully prepared, scalable physical environment that meets the expectations of multinational investors and fast-growing domestic firms alike.

The Silicon Island strategy addresses this challenge head-on. A central commitment of the plan is the development of “next generation sites” that are pre-zoned, fully serviced, and strategically located near major transport hubs, power grids, and research clusters. IDA Ireland, working with the Department of Enterprise, Trade and Employment and utility providers such as EirGrid and Irish Water, has identified several sites of 500 acres or more that are being prioritised for semiconductor investment. These “mega-sites” are designed to meet the needs of high-volume manufacturers, offering speed to deployment and certainty to investors in an increasingly competitive global landscape.

Ireland is not alone in vying for semiconductor manufacturing. Since the U.S. passed its CHIPS and Science Act in 2022, and China and South Korea ramped up similar programmes, the global race to attract chipmakers has intensified. Total semiconductor-related capital investment announced worldwide since 2021 exceeds $500 billion. Europe has mobilised over €43 billion through the EU Chips Act, of which Ireland intends to claim a substantial share. To do so, Ireland must ensure that its value proposition includes not only attractive tax and talent offerings, but shovel-ready infrastructure and an efficient regulatory environment.

This includes energy—semiconductor fabs are among the most energy-intensive industrial users. A single advanced fab can consume as much electricity as a medium-sized town. To meet this demand sustainably, Ireland is prioritising grid investments and renewable energy capacity in target regions. IDA and EirGrid are coordinating on substation upgrades, transmission infrastructure, and long-term power purchase agreements (PPAs) to offer green electricity at competitive rates. Ireland’s ambition to be a climate leader is integrated into this strategy, with a particular focus on ensuring that new fabs contribute to net-zero objectives.

Water and wastewater infrastructure is another critical enabler. Semiconductor manufacturing requires ultrapure water for cleaning wafers and tools, and large-scale fabs can use up to 15 million litres per day. Irish Water and local authorities are investing in plant upgrades and smart water management systems in key industrial zones to accommodate this demand. Environmental permits are being streamlined through the National Planning Framework, and a new inter-agency coordination mechanism has been established to ensure rapid responses to investment inquiries in the sector.

The government is also tackling broader infrastructure needs that impact investor decisions—such as housing, transport, and digital connectivity. Affordable housing availability has been flagged as a limiting factor for talent attraction in some regions, and new housing commitments under the Housing for All plan are being targeted at regions anticipating semiconductor investment. Meanwhile, improvements to regional airports, rail links, and broadband access are being aligned with the locations of proposed semiconductor clusters, particularly in the Midlands, Cork, Limerick, and Dublin regions.

To finance all of this, Ireland is using a mix of national public funding, EU structural and digital transition funds, and private sector investment. The National Development Plan (NDP) allocates significant funding for advanced manufacturing and innovation infrastructure, and Enterprise Ireland offers capital grants to indigenous firms seeking to upgrade facilities or co-locate near global firms. Strategic use of EU funding instruments—such as the Just Transition Fund, the European Investment Bank, and Horizon Europe—further enhances Ireland’s capacity to deliver world-class infrastructure at scale.

In summary, Ireland’s approach to semiconductor infrastructure is not piecemeal—it is system-wide. By aligning planning, utilities, and capital investment with the requirements of a future-facing semiconductor sector, the country is ensuring that it can host not only the fabs of today, but the innovation ecosystems of tomorrow.

Clusters and Strategic Partnerships: Strengthening Ireland’s Semiconductor Ecosystem

A key strength of Ireland’s Silicon Island strategy lies in its understanding that national competitiveness in semiconductors cannot be built in isolation. Semiconductors are not a single industry but a convergence of multiple disciplines, from materials science and electronics to AI, optics, and quantum physics. The real competitive advantage lies not only in individual firms or research centres, but in the creation of tightly interconnected ecosystems—industrial clusters where collaboration and innovation can flourish.

To this end, Ireland is establishing its first national semiconductor cluster. This initiative brings together multinationals, indigenous SMEs, research institutions, start-ups, and government agencies in a coordinated effort to build critical mass, foster collaboration, and accelerate technological advancement. The goal is to move beyond the current “network of nodes” model and toward a more coherent, place-based innovation ecosystem that spans the entire value chain. The cluster will serve as a platform for collective problem-solving on talent, investment, R&D, supply chains, and global market access.

The cluster’s development is being led by IDA Ireland and Enterprise Ireland, in partnership with Tyndall National Institute, MCCI, IPIC, and higher education institutions such as University College Cork, University of Limerick, and TU Dublin. These entities already play a vital role in Ireland’s innovation system, but the new cluster will formalise cooperation and unlock synergies through shared roadmaps, co-funded infrastructure, and joint applications to European programmes such as Chips for Europe, Horizon Europe, and IPCEI ME/CT. The cluster is also expected to connect with other European semiconductor regions—such as Saxony in Germany, the Netherlands’ Brainport region, and France’s Grenoble—to form cross-border “super-clusters” capable of competing globally.

One of the main objectives of the Irish cluster is to deepen linkages between multinationals and domestic SMEs. While Ireland has successfully attracted global firms like Intel, AMD, Qualcomm, and Analog Devices, the potential of its indigenous base remains underexploited. The strategy calls for greater integration of Irish SMEs into the supply chains of MNCs—providing products, services, IP, and advanced technologies. Companies like YieldHub (yield management software), Pilot Photonics (frequency combs), and Altratech (biosensing chips) are already working at this interface, but many more can join if given the right incentives, access to testbeds, and support in navigating procurement processes.

Enterprise Ireland will play a critical role here, particularly through its High Potential Start-Up (HPSU) programme and Innovation Vouchers. These tools enable SMEs to collaborate with research institutions or multinational customers, de-risk R&D, and scale up production. The agency will also serve as a connector between Irish firms and the EU-level ecosystem—ensuring that companies can participate in pilot lines, prototyping facilities, and foundry access programmes supported under the European Chips Act.

Another important aspect of clustering is the integration of semiconductors into broader economic sectors. Ireland’s strategy explicitly promotes cross-sectoral synergies—especially with industries like medical devices, telecommunications, automotive, aerospace, and agritech. Many of these sectors are undergoing digital transformation and require increasingly sophisticated chips for sensing, connectivity, data processing, and energy efficiency. By positioning semiconductors as a cross-cutting enabling technology, the government aims to drive innovation throughout the Irish economy and increase domestic demand for advanced microelectronics.

International partnerships are also central. Ireland is actively engaging with like-minded countries, including the U.S., Japan, South Korea, and Taiwan, to build resilience and strategic depth. The U.S.-Ireland R&D Partnership Programme, for example, funds trilateral collaborations between researchers in the U.S., Republic of Ireland, and Northern Ireland in microelectronics and photonics. Ireland is also part of the OECD Semiconductor Informal Exchange Network, which facilitates policy coordination on global supply chain security and technology standards.

In summary, clustering is not just about geography—it is about governance, collaboration, and shared ambition. Ireland’s new national semiconductor cluster is a long-term bet on the power of ecosystems: that the whole can be greater than the sum of its parts. It reflects a broader vision where knowledge flows across institutions, where public and private actors co-invest in shared platforms, and where Ireland positions itself as a dynamic node in Europe’s semiconductor future.

Strengthening Franco-Irish Collaboration in the Age of European Semiconductor Sovereignty

Ireland’s Silicon Island strategy does more than define a national roadmap—it also serves as an open invitation to deepen strategic cooperation with key European partners. Among them, France stands out as a natural and highly complementary counterpart. Both countries share a strong commitment to the European Chips Act and a broader vision of technological sovereignty in the face of global disruptions. As the semiconductor sector becomes increasingly geopolitical, with supply chain security and technological leadership now central to EU industrial policy, coordinated action between Ireland and France offers mutual advantages and a broader impact on Europe’s competitiveness.

France’s own strategy in semiconductors, articulated through the France 2030 investment plan and anchored by major institutions such as CEA-Leti, CNRS, and STMicroelectronics, targets leadership in cutting-edge areas like energy-efficient chips, embedded AI, advanced packaging, and quantum technologies. With over €6 billion dedicated to microelectronics and photonics in the current decade, France is scaling both its R&D capabilities and industrial capacity—including investments in chip manufacturing hubs in Grenoble and the Paris-Saclay cluster. Ireland, meanwhile, brings complementary strengths to the table: it hosts leading fabless design operations (Cadence, AMD), state-of-the-art analog and logic production (Intel, ADI), and an internationally connected deeptech innovation system led by Tyndall National Institute, IPIC, and MCCI.

These synergies translate into concrete opportunities for collaboration across the value chain. Joint research initiatives between Irish and French centres could accelerate breakthroughs in next-generation photonic chips, quantum-secured communication systems, or heterogeneous integration platforms. France’s industrial base in advanced packaging and substrate materials could connect with Ireland’s prototyping infrastructure and pilot manufacturing capacities to test new device architectures at scale. Ireland’s access to large tech multinationals and France’s strength in upstream equipment and materials create a rich field for joint industrial demonstrators and IPCEI-aligned investment projects.

The policy and diplomatic framework to enable this cooperation is already in place. The France–Ireland Joint Plan 2021–2025 explicitly recognises research, innovation, and digital technology as shared strategic priorities. Both countries are members of the European Semiconductor Board, active contributors to Horizon Europe’s Cluster 4 (Digital, Industry and Space), and participants in the Chips Joint Undertaking. These platforms can serve to align funding, support the mobility of talent, and co-develop cross-border value chains. Furthermore, Ireland’s Competence Centre in Semiconductors and France’s national hubs such as Nanoelec and the Pôle SCS (Solutions Communicantes Sécurisées) can act as gateways for SMEs to access design platforms, pilot lines, and technical training programmes.

At a time when Europe’s ambition is to consolidate its semiconductor landscape, reduce fragmentation, and build transnational ecosystems of excellence, Franco-Irish collaboration can offer a model of agility and strategic focus. It embodies a pragmatic, high-trust, and innovation-driven approach to partnership—one that serves not only national interests but the broader resilience and competitiveness of the European semiconductor supply chain.

Conclusion: Ireland’s Strategic Leap Forward in the Global Semiconductor Era

With the launch of its Silicon Island strategy in May 2025, Ireland has made an unambiguous declaration: it intends not only to contribute to the future of the semiconductor industry but to help lead it. In doing so, Ireland is positioning itself at the intersection of three major global trends—the reshaping of technology supply chains, the pursuit of digital and green transitions, and the geopolitical rebalancing of critical industries. In this high-stakes context, Ireland’s approach stands out for its realism, ambition, and coordination.

Few countries of Ireland’s size have achieved such a convergence of assets in the semiconductor space. It combines the presence of 15 of the top 30 global chip companies with a dynamic research and start-up scene, anchored by institutions like Tyndall, MCCI, and IPIC. It boasts a young, highly educated workforce, robust links to the EU Single Market, and a policy environment consistently ranked among the most pro-business in Europe. Between 2020 and 2024, the sector directly contributed over €13 billion in exports annually, accounting for approximately 6% of Ireland’s total goods exports. These numbers reflect the maturity of the ecosystem, but the new strategy aims to take it several steps further.

By fully aligning with the European Chips Act and embedding the sector into broader national initiatives—like the Digital Ireland Framework, the National Quantum Strategy, and Housing for All—Ireland is sending a powerful signal to investors, researchers, and policymakers across Europe. It sees semiconductors not just as a technological sector, but as a critical foundation for long-term industrial resilience, innovation sovereignty, and strategic autonomy. This framing echoes the EU’s own redefinition of semiconductors as a “common interest good,” akin to energy or defence.

Crucially, the strategy is built to be adaptive. The Semiconductor Advisory Council will monitor implementation, track changes in market and geopolitical dynamics, and guide the government in fine-tuning its policies. The proposed Competence Centre in Semiconductors will serve both as a national resource and as Ireland’s access point into EU pilot lines, funding streams, and research networks. These governance mechanisms reflect a mature understanding: that this is a long game, one that will require consistent investment, policy stability, and deep collaboration between the public and private sectors.

Ireland is also aware of the challenges ahead. Global competition is intensifying. Costs are rising. Supply chains remain vulnerable. And the scale of capital needed to compete with East Asia or the U.S. remains daunting. Yet the country’s strength lies in its agility, its openness, and its ability to punch far above its weight when it comes to innovation and entrepreneurship. Whether through attracting AMD’s €135 million R&D programme, enabling Analog Devices’ €630 million wafer expansion, or nurturing start-ups like Mbryonics and Altratech, Ireland is already showing how small states can shape global outcomes when they play to their strengths and act strategically.

In sum, the Silicon Island strategy is more than a policy document. It is a national commitment to future-proof Ireland’s economy, enhance its global standing, and make a meaningful contribution to Europe’s technological sovereignty. It invites researchers, investors, workers, and international partners to see Ireland not just as a location—but as a laboratory of ideas, a platform for growth, and a trusted partner in building the resilient, intelligent, and secure digital infrastructure the world now needs.

Ireland’s leap is not without risk. But as the semiconductor decade unfolds, few countries are better positioned to make that leap count.