Stmicroelectronics, the semiconductor company controlled by the Italian Ministry of Economy and the French public bank Bpifrance, announced today its intention to focus on worker retraining and the introduction of robots in factories producing less sophisticated microchips.
STMICROELECTRONICS’ ROBOTS
During an industry conference in Sopot, Poland, the head of Stmicroelectronics’ manufacturing unit, Thomas Morgenstern, showed a video of a robot inserting a silicon wafer holder into a machine. He explained that it was the company’s first robot, but “in a couple of years” there will be “over a hundred humanoids performing tasks” in the factories.
The introduction of robots and process automation should allow Stmicroelectronics to increase production efficiency and strengthen its competitiveness against foreign competition, particularly Chinese, which is very present in the market for so-called legacy chips: that is, semiconductors that are not advanced but widely used in many sectors. However, it is not easy to “upgrade” old production lines with new equipment; on the other hand, demolishing and rebuilding more modern factories in Europe is often an expensive and lengthy option due to bureaucratic procedures.
A MATTER OF SUBSIDIES
However, old semiconductor factories cannot access public aid from the European Chips Act because subsidies are directed at first-of-a-kind plants. This term, translatable as “first of its kind,” refers to cutting-edge semiconductor facilities, both in terms of the devices produced and the use of innovative solutions of various kinds (for example, processes that ensure greater energy efficiency).
– Also read: What Stmicroelectronics will do in Agrate and China
In spring, the European Chips Act will be updated – the term used is Chips Act 2.0 – and the semiconductor industry would like it to include more funds to support the supply chain and existing factories. The current Chips Act, which came into force in September 2023, aims to more than double the EU’s share of global microchip manufacturing by 2030, increasing it from 9 to 20 percent of the global total.
BETWEEN RESTRUCTURING PLANS AND PRODUCTION AUTOMATION
Morgenstern explained that humanoid robots will take care of repetitive and more physically demanding tasks, thus allowing human workers to move to more qualified roles, which are currently in short supply. He also assured that Stmicroelectronics does not want to “close any facility in Europe. The goal is to increase efficiency.”
In October 2024, Stmicroelectronics launched a restructuring plan that foresees the exit of five thousand employees. The production reorganization program is underway in France, while there is less certainty regarding Italy.
Last December, a meeting was held at the Ministry of Enterprises about the Catania plant, dedicated to silicon carbide devices. The company presented the progress of the 2025-2027 industrial plan, confirming commitments, and discussed the €500 million financing received from the European Investment Bank.
In November, there was another meeting, also at the Ministry of Enterprises, between Stmicroelectronics and authorities, during which the expansion of the Agrate site was discussed, dedicated to three-hundred-millimeter silicon wafers. The unions expressed concern about the employment impact of this project, since the future three-hundred-millimeter plant will be largely automated and will not require the same volumes of labor.
