Finland targets export surge in semiconductors, aims to elevate Europe’s technological competitiveness

New strategy outlines growth opportunities

The Finnish semiconductor industry is poised to triple its turnover to EUR 5–6 billion and expand its workforce to 20,000 by 2035. Unveiled today, Chips from the North, the industry’s strategy, encourages businesses and the government to invest in education, attract international talent and investments, and enhance research and development within the sector. The initiative also aims at reinforcing Europe’s technological edge.

Read press release in Finnish

“The semiconductor sector presents a substantial opportunity for Finland to accelerate export growth and create high-value jobs. Concurrently, we aim to bolster Europe’s technological prowess and supply chain resilience amid global uncertainties.”

Tomy Runne, Chair of the Semiconductor Branch Group at Technology Industries of Finland

With global semiconductor sales projected to reach approximately €1,000 billion over this decade, spurred by advancements in digitalization and AI, Finnish semiconductor firms are well-placed for even faster growth. The newly released national strategy offers both a current analysis and a forward-looking perspective on Finland’s semiconductor landscape.

“Our growth potential stems from distinctive strengths and extensive prior investments amounting to hundreds of millions. Our sector exemplifies the substantial benefits and competitive edge derived from long-term educational, research, and development commitments by both public and private entities.”

Tomy Runne, Chair of the Semiconductor Branch Group at Technology Industries of Finland

Six growth opportunities identified

The strategy outlines six pivotal areas for expansion in the Finnish semiconductor industry: chip design, microelectromechanical systems and sensor technology, photonics, quantum technologies, advanced materials, and sustainable process technologies.

“By capitalizing on these strategic areas, we anticipate that the Finnish semiconductor sector will not only triple its turnover to EUR 5–6 billion by 2035 but also double its workforce to 20,000.”

Joonas Mikkilä, Senior Advisor at Technology Industries of Finland

Furthermore, this growth could indirectly create an additional 15,000 jobs across various sectors and generate an economic impact estimated between EUR 90 and 180 billion in the country.

In 2022, the Finnish semiconductor sector comprised roughly 90 companies, employing about 7,000 people and generating nearly EUR 1.6 billion in revenue. Nokia and Microsoft are not included in the employment and revenue statistics.

Strategic actions needed to realize growth

To harness the opportunities presented by increasing global demand and shifts in critical technology supply chains, the Finnish semiconductor industry requires focused efforts.

“We need to strengthen our research and development capabilities, enhance our talent pool, and draw investments to research and design centres and production facilities. Our strategy lays out specific actions for businesses, the government, and academic institutions.”

Tomy Runne, Chair of the Semiconductor Branch Group at Technology Industries of Finland

Globally, governments are recognizing the strategic importance of semiconductor technologies for national success and security, with initiatives like the EU’s Chips Act demonstrating this trend.

“We appreciate the Finnish government’s pledge to ensure vital funding for collaborative projects under the EU’s Chips Act such as shared pilot infrastructure. Our strategy sets the direction for more effective partnerships between the industry and stakeholders. The decisions we make today will define Finland’s future success in the semiconductor arena.”

Tomy Runne, Chair of the Semiconductor Branch Group at Technology Industries of Finland

Additional information

Tomy Runne
Chair, Semiconductor Branch Group
Technology Institutes of Finland
Tel. +358 406 646 194

Joonas Mikkilä
Senior Advisor
Technology Institutes of Finland
Tel. +358 451 296 791

Read more

During the winter of 2023–2024, Technology Industries of Finland and the Boston Consulting Group conducted an independent, fact-based analysis and collaborated with over 300 semiconductor professionals to inform a national semiconductor strategy. This strategy was made possible through funding from TT-säätiö and was published at a hybrid event in Helsinki on April 26, 2024.

Semiconductor technologies are critically important to society

  • Modern society relies on semiconductor technologies. Microchips, or semiconductor solutions, can be found in consumer electronics, transport vehicles, data networks, industrial machinery and equipment, wind turbines and countless other products with digital features.
  • Semiconductor technologies contribute to the work on climate change and green transition, as solutions based on them are essential for improving energy and resource efficiency.
  • Semiconductors are essential for the overall security of society. Disruptions in the supply and availability of components have a significant impact on various industries and the wider economy. The pandemic and rising geopolitical tensions have highlighted the vulnerability and bottlenecks of global value networks in semiconductors. 

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