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From Windmills to Wafer Fabrication

A History of the Semiconductor Industry in the Netherlands

When you think about the Netherlands, your initial thoughts most likely revolve around windmills and tulips. However, over the years, the Dutch have also made a name for themselves in the global semiconductor industry. They didn’t earn this place overnight; the Netherlands is rooted in a rich history of innovation, and there’s a reason they dominate the industry. 

Semicon in the Netherlands: Origins and Evolution 

The story of the Semicon industry in the Netherlands begins with Philips & Co. Originally founded in the 1890s in Eindhoven by Frederick Philips and his son, Gerard, as a light bulb manufacturing company, Philips was an early pioneer in semiconductor research and production in the country. Philips expanded its scope to electronics and became a key player in semiconductor technology by the 1950s. This early involvement laid the groundwork for the Netherlands’ future in the industry. 

In 1984, Philips and Advanced Semiconductor Materials International (ASMI) joined forces to create ASM Lithography (ASML). Starting out in a leaky shed next to a Philips office in Eindhoven, ASML quickly grew to become a global leader in lithography systems.  

This was a crucial era when Japanese companies dominated the industry, but ASML’s innovative extreme ultraviolet (EUV) lithography technology soon set the Netherlands apart. Their EUV machines are essential for producing the advanced chips found in smartphones, computers, and other high-tech devices. To this day, they remain the only lithography equipment supplier capable of producing EUV technology. 

Dutch Semiconductor Equipment: A Global Necessity 

Microchips are used in just about every electronic device humans use daily. These microchips found in your computer, phones, gaming consoles, cars, and even household items like washers and dryers, most likely trace back to the Netherlands. Data shows that 85% of all chips use Dutch semiconductor equipment.  

Key Factors in the Dutch Semiconductor Success 

Why have the Dutch been so successful in the industry? There are several key elements that have contributed to its global prominence. One of these elements is a strong ecosystem that encourages strong collaboration between industry, academia, and government. 

One pivotal player in this innovative ecosystem is the High Tech Campus Eindhoven. Home to over 220 companies and institutes, many of which are key players in semiconductor technology, the campus fosters an environment of collaboration and draws a highly skilled workforce dedicated to advancing semiconductor technology. 

Top-notch universities such as Delft University of Technology and Eindhoven University of Technology also ensure a steady stream of skilled graduates and facilitate the cutting-edge research necessary for innovation.  

The Dutch government proactively supports innovation through policies that incentivize research and development. Additionally, the Netherlands’ strategic location makes it a key export hub for semiconductor equipment and technology, with a significant portion of its production destined for markets in Asia, Europe, and North America. 

The worldwide semiconductor industry has encountered various challenges in recent years, including supply chain disruptions and increasing technological complexity. However, the Netherlands has effectively overcome these obstacles by utilizing its expertise in specialized areas such as lithography.  

Future Prospects: Sustainability and Innovation in the Netherlands 

Looking forward, the Dutch semiconductor industry shows no signs of slowing down. Companies like ASML continue to innovate, pushing the boundaries of what’s possible. The Netherlands’ focus on sustainability also contributes to its success, with companies prioritizing energy-efficient technologies and sustainable practices. 

The Netherlands’ rise as a leading country in the semiconductor industry is a testament to decades of research, innovation, and a supportive ecosystem. With companies like ASML leading the way, backed by strong academic institutions and government support, the Dutch semiconductor sector is poised for continued growth on the global stage. 

 

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