Revolutionizing semiconductor efficiency: Role of low power design and advanced monitoring technologies

In the shadow of a global chip shortage, semiconductor manufacturers are at a crossroads, grappling with the pressure to bolster supply chains while prioritizing sustainability for the future. With the boom in human and machine-generated data, IT capabilities, Artificial Intelligence (AI), and connectivity, the global semiconductor market is likely to double by 2030, increasing from 550 Billion Euros to over 1 Trillion Euros, exhibiting a CAGR of 12.2%. As the industry accelerates to meet an insatiable demand for more advanced chips, it faces a paradox. The ramp-up in production necessary to quench this technological thirst is simultaneously intensifying greenhouse gas (GHG) emissions, casting a long shadow on efforts to combat global warming.

Semiconductor leaders promise stricter standards, yet there is a growing gap. They fall short of the 2016 Paris Agreement's aim: capping the global temperature increase at 1.5°C above preindustrial levels. Higher goals and significant industry change are needed to close this gap, including a new era where low-power design and advanced monitoring are essential. 

Understanding and Addressing Roadblocks of the Semiconductor Industry

The semiconductor industry, vital for technological progress, faces significant environmental challenges throughout its manufacturing processes, including wafer fabrication, packaging, testing, and assembly. Each stage contributes notably to the industry’s carbon footprint through emissions categorized into Scope 1 - direct emissions from process gases used during wafer etching and chamber cleaning, Scope 2 - indirect emissions from purchased electricity and utilities, and Scope 3 - other indirect emissions in the value chain. As per a McKinsey & Company report, a typical semiconductor fab sees 35% of its emissions as Scope 1, 45% as Scope 2, and 20% as Scope 3 upstream. 

Additionally, the short lifespan of semiconductor devices exacerbates electronic waste and resource depletion. A single silicon wafer’s production can consume up to 8,000 KWH of electrical energy and 2,200 gallons of UPW. The industry is also facing the overwhelming task of managing over 3 million gallons of chemical waste annually in the US alone.

To address these challenges, we offer sustainable supply chain analysis and Scope 3 monitoring solutions that help identify the supplier, collect data, and report emissions along with Scope 3 inventory. We also hold expertise in Energy Management Solutions in partnership with our customers and assist in preparing strategy reports and ESG data performance report for tracking sustainable practices. Our connected asset solution is efficient in improving the reliability and availability of physical assets of Electricity, Water, Renewable Energy - Solar, Wind, Hydro, Biomass - utilities while minimizing risk and operating costs. 

Embracing Low Power Design Techniques

In the relentless quest to mitigate the escalating energy demands of chip production while implementing sustainable practices, semiconductor businesses are fervently embracing low-power design techniques. These innovative methodologies stand at the forefront of revolutionizing the industry, significantly curtailing power consumption and reducing energy usage. The most prominent low power design techniques include: 

• Clock Gating: The technology involves deactivating the clock signal to portions of a chip when not in use, thereby preventing unnecessary power drainage. 
• Multi-voltage Design: The design allows different parts of a chip to operate at various voltage levels, optimizing power usage by adjusting the voltage according to the performance requirement of each section.
• Power gating: The technology completely shuts off power to inactive sections of the chip, effectively eliminating leakage power, a notorious energy waster in standby mode.

By judiciously implementing clock gating, multi-voltage, and power gating, some of the semiconductor businesses are championing the cause of energy efficiency and setting a precedent for responsible and sustainable technological development.

Advanced Monitoring for Enhanced Efficiency

The semiconductor sector necessitates a relentless pursuit of innovation to identify and rectify inefficiencies. Central to this pursuit is the integration of enabling technologies, serving as tools and catalysts propelling the industry toward a sustainable future. Among these, the concept of Digital Twins emerges as a revolutionary force. These virtual avatars of physical systems offer more than a mere glimpse into the operational intricacies; they provide a comprehensive, real-time panorama, enabling unprecedented monitoring and analysis. 

Complementing this, the advent of generative AI ushers in a new era of efficiency. The industry can craft energy-efficient production schedules by harnessing AI's predictive prowess, ensuring that resource consumption aligns seamlessly with operational demands. Moreover, deploying private 5G networks fortifies this ecosystem of efficiency. The ability to transmit and analyze data in real time equips the industry to respond to inefficiencies with unparalleled swiftness, making every second count in the relentless quest for sustainability and efficiency. Thus, in the intricate dance of semiconductor production, advanced monitoring does not merely track the rhythm; it coordinates a symphony of sustainability and efficiency, resonating through every facet of the industry.

Developments in the Industry

The semiconductor industry is undergoing a pivotal transformation in its sourcing and supply chain management, primarily driven by the concentration of critical manufacturing and raw materials in a limited number of geographies. A pivotal player in this ecosystem is the fabrication (Fab) company, which relies heavily on specialized suppliers for high-purity materials and advanced machinery. These suppliers, in turn, are integral to equipping and maintaining sophisticated manufacturing facilities. Further, Outsourced Semiconductor Assembly and Test (OSAT) represents a specialized sector in the semiconductor industry, focusing on third-party services for chip assembly, packaging, and testing. Gaining momentum, OSAT is increasingly prominent in the semiconductor industry, as companies form joint ventures to establish chip testing facilities.

The OSAT market size is estimated at USD 46.87 billion in 2024 and is expected to reach USD 69.19 billion by 2029.Interestingly, India is emerging as a pivotal hub for these operations, highlighting its growing role in the semiconductor supply chain and the industry’s shift towards collaborative, international production models. 

By embracing innovative strategies, the semiconductor industry ensures its competitive edge and contributes significantly to a more sustainable and environmentally conscious future. As we advance, the harmonization of technological progress with ecological stewardship will be paramount in shaping an efficient and responsible industry.

The article has been written by Ateet Dhawan, Senior Vice President and Business Head - Semicon and Strategic Accounts, Tech Mahindra