{"id":20070,"date":"2022-05-18T08:36:18","date_gmt":"2022-05-18T12:36:18","guid":{"rendered":"https:\/\/a2globalelectronics.com\/?p=20070"},"modified":"2022-05-18T08:36:24","modified_gmt":"2022-05-18T12:36:24","slug":"how-will-the-semiconductor-industry-influence-militarys-5g","status":"publish","type":"post","link":"https:\/\/a2globalelectronics.com\/ja\/defense-aerospace\/how-will-the-semiconductor-industry-influence-militarys-5g\/","title":{"rendered":"How Will the Semiconductor Industry Influence the Military’s 5G Rollout?"},"content":{"rendered":"

When the U.S. Department of Defense (DoD), and the contracts it awards, get mentioned, certain names spring to mind: Lockheed Martin, Northrop Grumman, and the like. But lately, a different group of companies \u2014 ones working in a very different industry \u2014 have entered the picture.<\/h2>\n\n\n\n

As the federal government seeks to enhance the military\u2019s 5G<\/u><\/em> connectivity, traditional contractors have teamed with tech giants and communications groups to upgrade vital networks. In April 2022, Northrop Grumman and AT&T announced their intent to \u201cresearch and develop \u2026 a 5G-backed \u2018digital battle network\u2019.\u201d<\/a> Prior to that, Lockheed Martin and Intel signed an expanded \u201cmemorandum of understanding \u2026 to align 5G-enabled hardware and software solutions for the DoD.\u201d<\/a><\/p>\n\n\n\n

So, how does the global chip shortage factor in? Without a steady stream of these valuable components, these proposals could remain unrealized \u2014 unless semiconductor manufacturers and suppliers step up to fill the void.<\/p>\n\n\n\n

Opportunity Along the Supply Chain<\/u><\/strong><\/h2>\n\n\n\n

Overall, the aerospace and defense industries rely on legacy semiconductors for their technology: 5G chips are an exception to the rule. While companies in the market for obsolete components may experience low supply, others seeking modern semiconductors \u2014 like the ones used in 5G chipsets \u2014 may benefit from priority manufacturing driven by profit margins<\/a>. Shortages would persist, but their effects wouldn\u2019t be quite as acute.<\/p>\n\n\n\n

Semiconductor suppliers stand to benefit just as much as foundries. Although the push to onshore continues building momentum, the bulk of manufacturing remains in foreign countries: The United States accounts for only 12% of the world\u2019s chip production<\/a>, while three nations \u2014 Taiwan, South Korea, and China \u2014 account for 88%.<\/p>\n\n\n\n

To win and fulfill the military\u2019s 5G<\/u><\/em> contracts, contractors and tech companies alike will need to turn to semiconductor suppliers with extensive international contacts, a record of reliability, and proven vetting processes capable of weeding out substandard components.<\/p>\n\n\n\n

Collaborating on the Military\u2019s 5G<\/em><\/u><\/strong><\/h2>\n\n\n\n

As previously mentioned, the DoD\u2019s drive for military 5G<\/u><\/em> has led to some unique working relationships. And as this rollout grows, defense, aerospace, and telecommunications companies may begin working directly with yet another set of partners \u2014 semiconductor manufacturers and suppliers.<\/p>\n\n\n\n

What\u2019s more: These partnerships aren\u2019t limited to multinational corporations. Instead of teaming directly with foundries, smaller companies can opt to work with a dedicated procurement company like A2 Global. These organizations leverage trusted worldwide networks to connect buyers with potential sellers, enabling them to source quality-assured legacy and advanced components.<\/p>\n\n\n\n

5G connectivity has already become a staple of civilian life; with time and continued DoD investment, the technology will establish itself in military applications. For it to happen as smoothly as possible, the armed forces will have to nurture relationships with multiple suppliers, opening new opportunities for the semiconductor industry.<\/p>\n\n\n\n

Read more:<\/p>\n\n\n\n