This document discusses opportunities to grow Singapore's semiconductor industry through supporting small and medium enterprises (SMEs). It notes that while Singapore is uniquely positioned as a semiconductor hub due to its ecosystem of foundries, test/assembly companies, venture capital firms, and talent pool, it has not effectively tapped this potential for SME growth. Only a small number of fabless semiconductor companies have been created in Singapore compared to other semiconductor centers. The document proposes leveraging Singapore's advantages through a semiconductor-focused incubator, demand aggregation across SMEs, facilitating spin-offs from multinational corporations, and aligning government support programs to better meet the needs of emerging semiconductor companies.

1. Growing Singapore’s
Semiconductor Industry
an SME Perspective
Mike Holt
mholt@get2volume.com
Turning technology into cash

2. Example Singapore Fabless Company: Semitech
Company Profile
 Fab-less semiconductor company
 Re-start of Semitech Innovations with new management,
investors and board
 Located in Singapore, Melbourne (AU) and California
 Multiple generations of PLC devices in production
 Captures 14 years and $18M of investment
 Robust communications on noisy power lines

3. Singapore Semiconductor Growth
Unrealized Opportunity
Singapore is Unique. Opportunity in this Uniqueness
 Fabless SME growth enables overall SME growth
 New company growth enables industry sustainability
 Significant opportunity via Singapore semiconductor SME growth
 Singapore uniquely positioned as a semiconductor growth center
Singapore is Unique: Almost No Semi Companies Created
 Singapore is no longer a competitive place for fabless SME’s
 This can be changed: All the pieces are here.

4. WW Fabless Semiconductor Revenue
US$ (Billions)
Source: GSA
4

5. “Tier 1 Semiconductor Center” Fabless Companies (HQ)
Source: GSA

6. “Tier 2 Semiconductor Center” Fabless Companies (HQ)
1
Source: GSA

7. What is Different About Singapore?
Singapore Unique Advantages … Unleveraged for Semiconductor SME’s
 Broadbased Local Ecosystem  Ecosystem Not Tapped
 Foundry, Test/Assembly  Local foundry, test/assembly focus only on
established volume customers
 VC (some semiconductor experienced)
 Very limited investment appetite and
 Established MNC’s
environment
 Semiconductor talent base
 Few MNC spin offs
 Good for New Companies to Locate  Local talent typically in operations
 Government programs execution roles rather than new business
creation
 MNC Focused Location Advantages
 Good Spin off Opportunities
 Government programs and KPI’s designed
 Universities, RI’s
for MNC’s
 Broad based capabilities – needs sector
 Big company advantages like IP protection,
focus to create leverage and synergies
taxation, … do not benefit SME’s
 No cohesive semiconductor community
Advantages are Perceived, Not Real, SME Advantages

8. Opportunities for Unfair Advantage
Leverage Singapore Uniqueness
Leverage
 Demand aggregation: wafers, EDA, test/assembly
Ecosystem
Small area  MNC spin out approach.
Concentrated  SSIA SME-MNC collaboration
MNC Base  Industry focus areas. SME involved consortiums
 MNC-SME collaboration approaches
Government
 Spin off funding and growth approaches
support
 SME opportunity creation consolidation. Improved ROI

9. Approaches to Enable Fabless Growth in Singapore
Leverage Singapore Unique Advantages
Enable a Semiconductor Focused Company Incubator
 Demand aggregation across multiple companies
 Attract semiconductor start ups from other markets
 Spin off coordination with MNC’s resulting in future acquisition/spin in
access options.
SSIA Emerging Semiconductor Company Role
 SME-MNC collaboration
 Industry voice to semiconductor incubator
Align Government Approaches to Emerging Semiconductor Company Needs
 Company aggregation to improve ROI.

10. Do You Have
Any Questions?
Mike Holt
mholt@get2volume.com
Singapore SME growth white paper:
www.get2volume.com/Singapore_Semicon_SME.pdf