New report: Semiconductors
Sweden has strong research capabilities and is a leader in certain semiconductor niches, but it needs to become better at turning innovations into large-scale production. This is the conclusion of a new report from the Royal Swedish Academy of Engineering Sciences, which presents concrete proposals to strengthen Sweden’s competitiveness in one of the most strategically important technology fields of our time.
Semiconductors are a critical foundation
Semiconductors are essential for artificial intelligence, electrification, defence and modern communications. The EU is investing billions in research, innovation and improved opportunities to manufacture semiconductors in Europe. Sweden must now prioritise its areas of strength and deepen collaboration within the EU in order to achieve greater impact from these semiconductor investments. To improve coordination across the entire value chain and create more long-term conditions for growth, Sweden needs to bring together academia, industry and the public sector around shared objectives.
“Sweden possesses world-leading research expertise in several areas that are important for semiconductors, but we need to become better at translating research into competitive companies. Without coordinated national leadership and sustained funding, we risk becoming merely a supplier of knowledge to other countries’ industries.”
Stefan Bengtsson, Chair of the report’s working group and Fellow of the Royal Swedish Academy of Engineering Sciences.
Sustained funding is crucial
There is a shortage of private capital to drive start-ups and expansion within Sweden’s semiconductor sector. The state can contribute by sharing risk in the early stages, but long-term private financing is essential to build scalable and profitable companies. Public funding has historically played an important role during the start-up phase, but private investment is also required for sustainable long-term growth. An important factor is that private capital often also brings expertise, for example through active ownership and board representation.
Download the report with all proposals
About the report
The report was produced within the Royal Swedish Academy of Engineering Sciences’ project Swedish Futures, which aims to formulate a long-term vision for Sweden as a leading nation in technology and innovation by 2035. The working group operated from December 2025 to April 2026 and consists of experts from Chalmers University of Technology, KTH Royal Institute of Technology, Lund University, Ericsson, RISE Research Institutes of Sweden, Silex Microsystems, Volvo Cars and Swedish Electronics Association.