Spain Semiconductor Market Size | 2019-2032

Spain Semiconductor Market Growth and Performance

• The Spain semiconductor market size of US$ 12.41 Billion in 2023.
• The semiconductor market in Spain is expected to achieve US$ 29.56 Billion by 2032, showcasing a Compound Annual Growth Rate (CAGR) of 9.9% between 2024-2032.

Spain Semiconductor Market Outlook

The Spain semiconductor market is rapidly evolving as the country undertakes significant initiatives to strengthen its semiconductor industry. The government’s PERTE Chip initiative, launched in April 2022 with a budget of €12.25 billion until 2027, is a cornerstone project aimed at boosting the Spain semiconductor market and aligning with the European Chips Act, which seeks to double Europe’s share of global chip production to 20% by 2030. The program aims to cover the entire semiconductor value chain, from design to manufacturing, enhancing Spain’s strategic autonomy in microelectronics.

The outlook for the Spain semiconductor market is highly promising. The PERTE Chip initiative not only aims to establish manufacturing plants with sub-5nm capabilities but also emphasizes R&D, chip design, and venture capital funding for startups and scaleups. With €9.3 billion allocated for manufacturing and €1.1 billion for R&D, Spain is well-positioned to become a significant player in Europe’s semiconductor supply chain.

Spain Semiconductor Market Growth

Spain semiconductor market growth is driven by robust public and private investments, including Broadcom's €930 million investment to establish a semiconductor factory in Spain. The factory, part of the PERTE Chip program, will focus on chip manufacturing, packaging, and testing, creating 500 jobs and strengthening Spain’s position in the European semiconductor industry. Additionally, Spanish company KDPOF received €50 million under the PERTE Chip initiative to construct a chip encapsulation factory in Tres Cantos. The IMEC R&D center in Malaga is another notable project, bringing 450 highly qualified jobs and fostering innovation through collaboration with local companies and startups.

Spain Semiconductor Market Trends

Key trends in the Spain semiconductor market include:

• Strategic Investments: Major investments from Broadcom, IMEC, and KDPOF are enhancing Spain’s semiconductor infrastructure.
• Technological Sovereignty: The government’s focus on industrial sovereignty aligns with EU goals of reducing dependency on external semiconductor sources.
• Startup Ecosystem: The creation of a €200 million venture capital fund aims to support innovative semiconductor startups.
• Public-Private Partnerships: Collaboration with international tech leaders and academic institutions is driving advancements in semiconductor technology.

Spain Semiconductor Market Competitive Landscape

The competitive landscape of the Spain semiconductor market is increasingly dynamic. Broadcom’s new factory, KDPOF’s chip encapsulation project, and IMEC’s Malaga center are pivotal developments. Wooptix, a Spanish startup specializing in semiconductor metrology applications, secured €10 million from Samsung Ventures, Intel Capital, and the European Innovation Fund, highlighting the vibrant innovation ecosystem.

Spain Semiconductor Market Scope