Semiconductors and Artificial Intelligence: An Analysis of Global Power, Security, and Strategic Competition

References

[1] Bain & Company. (2024). Get ready for the next wave of AI chip shortage. https://www.bain.com/insights/prepare-for-the-coming-ai-chip-shortage-tech-report-2024/

[2] Begue, C. (2025, November 11). AI-driven collaboration: revolutionizing the semiconductor industry.AI-driven collaboration: revolutionizing the semiconductor industry.

[3] industry's operating model. Semiconductor Engineering. https://semiengineering.com/ai-driven-collaboration-transforming-the-semiconductor-industrys-operating-model/

[4] The Bureau of Industry and Security. (2025). Information and advice on export controls for advanced computing. https://www.bis.gov/media/documents/ai-counter-diversion-industry-guidance-may-13-2025.pdf

[5] Cadence Design Systems. (2024). AI-powered platform and tools for chip design.https:// www.cadence.com/en_US/home/ai/overview.html

[6] Salve, P. (2025, September 23). India is investing $18 billion to make India a chip powerhouse: What does it imply? CNBC.https://www.cnbc.com/2025/09/23/india-is-betting-18-billion-to-build-a-chip-powerhouse-heres-what-it-means.html

[7] Computer Weekly. (2025). A call to action is issued to remould the UK's semiconductor industry. https://www.computerweekly.com/opinion/A-call-to-action-to-rebuild-the-UKs-semiconductor-industry

[8] Economics Observatory. (2024). What is going on in the semiconductor industry in China? https://www.economicsobservatory.com/whats-happening-in-chinas-semiconductor-industry

[9] Agrawal, K. (2026). Ambition to execution in India Semicon Mission 2.0. ET Edge Insights.https://etedge-insights.com/technology/india-semiconductor-mission-2-0-from-ambition-to-execution/

[10] Futuriom. (2024). Networking with AI and Ethernet evolution. https://hedgehog.cloud/lp/ futuriom

[11] The Guardian. (2025, November 13). To be sure, UK firms have a major opportunity to take a big bite of the AI chip market.

[12] Haley, G. (2025, November 11). AI in test analytics: Promise vs. reality. Semiconductor Engineering. https://semiengineering.com/ai-in-test-analytics-promise-vs-reality/ IACIS. (2025).

[13] Asia Semiconductor policy and geopolitics. Proceedings of the International Association of Computer Information Systems.https://iacis.org/iis/2025/1_iis_2025_279-295.pdf

[14] Indian Express. (2026). Next few years to witness big growth in electronics, semiconductors, AI:

[15] Vaishnaw. https://indianexpress.com/article/cities/ahmedabad/next-few-years-to-witness-big-

[16] Intel Corporation. (n.d.). Artificial Intelligence (AI) Accelerators.https://www.intel.com/ content/www/us/en/learn/ai-accelerators.html

[17] JLL. (2025). The use of AI-powered facilities management has resulted in more than 5x ROI for global semiconductor.

[18] manufacturer. https://www.jll.com/en-de/client-stories/ai-powered-facilities-management

[19] Korea Times. (2026, February 11). Korea will invest in a $687 million project to create AI that works on devices and semiconductors. https://www.koreatimes.co.kr/business/tech-science/20260211/korea-to-launch-687-mil-project-to-develop-on-device-ai-semiconductors

[20] Mahindroo, A. (2025, April 30). AI's impact on the semiconductor industry. McKinsey & Company.https://www.mckinsey.com/industries/semiconductors/our-insights/silicon-squeeze-ais-impact-on-the-semiconductor-industry

[21] Maksakova, A. (2025). The U.S.-China rivalry, and the semiconductor industry are no exception (Master thesis, Central European University)..https://studylib.net/doc/28340913/ maksakova-anastasia

[22] McKinsey & Company. (2024). There are significant opportunities for semiconductors, but obstacles to scale. https://www.mckinsey.com/industries/semiconductors/our-insights/ semiconductors-have-a-big-opportunity-but-barriers-to-scale-remain

[23] Observer Research Foundation. (2024). India's semiconductor aspirations and the world on a collision course competitiveness: China challenge. https://www.orfonline.org/research/ india-s-semiconductor-ambitions-and-global-competitiveness-confronting-the-china-challenge

[24] Outlook Business.India’s Role in Semiconductor Supply Chain Essential as Others Seek To Dominate Sector: Us Envoy https://www.outlookbusiness.com/deeptech/indias-role-in-semiconductor-supply-chain-essential-as-others-seek-to-dominate-sector-us-envoy

[25] Artificial intelligence in semiconductor market — size, share and

[26] trends. https://www.precedenceresearch.com/artificial-intelligence-in-semiconductor-market

[27] PwC. (2024). State of the semiconductor industry report (SOTI). https://www.pwc.com/gx/ en/industries/technology/state-of-the-semiconductor-industry-report.pdf

[28] Technology's place in international business. (2025, January 13). https://www.gisma.com/ blog/the-role-of-technology-in-international-business

[29] Semiconductor Industry Association. (2025). The global semiconductor industry grows by 25.6% each year. https://www.semiconductors.org/global-annual-semiconductor-sales-increase-25-6-to-791-7-billion-in-2025/ [Research report].

[30] UK Tech News. (2025, February 19). The largest semiconductor manufacturers in the UK. https://www.uktech.news/semiconductor/britains-biggest-semiconductor-companies-20250219

[31] The United Nations Development Programme (UNDP). (2025). Global strategies for AI governance. https://www.undp.org/sites/g/files/zskgke326/files/2025-11/undp-kazakhstan-global-approaches-ai-governance.pdf?utm_source=chatgpt.com

[32] Gera, A., Dutt, M., & Banerjee, P. (2025, June). AI chip war: A battle for technological supremacy (Policy Brief No. 11). Indian Institute of Foreign Trade (IIFT) Centre for WTO Studies. PDFhttps://wtocentre.iift.ac.in/PolicyBrief/CWS-CRIT-AI%20Semiconductor_Policy_Brief_No-11.pdf

[33] The Institute for Law and Competition Excellence (ILCE). (2024). The intricacy of generative AI and its implications for policy https://www.icle.in/wp-content/uploads/ 2024/04/Final-Paper_GenAI.pdf

[34] Ferreira Gomes, A and van den Wijngaard, J. (2025, June 10). How Artificial Intelligence Chips got into the hands of world powers. Clingendael Institute.https:// www.clingendael.org/publication/how-ai-chips-became-tool-global-power

[35] Shrivastava, M. and Jash, A. (2025). China's semiconductor conundrum: What is going on in the US and how effective are the export restrictions? Cogent Social Sciences, 11(1), Article 2528450. https://doi.org/10.1080/23311886.2025.2528450

[36] Congressional Research Service. (2025, September 19). U.S. export controls and China: Advanced semiconductors (Report No. R48642). Library of Congress. https:// www.congress.gov/crs-product/R48642

[37] Bown, C. P., & Wang, D. (2024). Semiconductors and modern industrial policy (Working Paper 24-3). The Peterson Institute for International Economics, a nonprofit, nonpartisan research body. https://www.piie.com/publications/working-papers/2024/semiconductors-and-modern-industrial-policy

[38] Bommasani, R., Klyman, K., Zhang, D., & Liang, P. (2023, June 15). Do foundation model providers comply with the draft EU AI Act? Stanford Center for Research on Foundation Models. https://crfm.stanford.edu/2023/06/15/eu-ai-act.html

[39] Stanford Center for Research on Foundation Models (CRFM) and the Stanford Human-Centered Artificial Intelligence (HAI).https://crfm.stanford.edu/2023/06/15/eu-ai-act.html

@article{1718859,
      author = {Dwibhashyam Sai Murali, Dr. Nagalaxmi M. Raman},
      title = {Semiconductors and Artificial Intelligence: An Analysis of Global Power, Security, and Strategic Competition},
      journal = {Iconic Research And Engineering Journals},
      year = {2026},
      volume = {9},
      number = {12},
      pages = {1384-1407},
      issn = {2456-8880},
      url = {https://www.irejournals.com/formatedpaper/1718859.pdf},
      abstract = {AI Infrastructure is a critical component of our modern lives, defining the backbone of innovation and aiding in the transition from traditional systems to those powered by AI.AI Infrastructure is the backbone of innovation and a vital part of our modern lives that is helping to bridge the gap between traditional systems and those driven by AI.Production of microelectronics is one of the old-fashioned macro-geopolitical and macro-economic issues. Twenty-first-century paradigms. In this doctoral thesis, an attempt is made to the detailed and An in-depth study of this complexity of the technical crossing, in a critical way, assessment of the strategic position of the existing and new economic powers –Within an increasingly globalized world—this is an essential element of the 1970s revolution in world politics.This is a vital part of the 1970s revolution in world politics, in an increasingly globalized world.A fragmented and fragmented semiconductor market.A fragmented and decentralized semiconductor market. Comprehensive solutions are available for the use of a large compendium. official technology policy, quantitative industrial analytics, and institutional literature,The systemic competitive dynamics, supply chain and customer dynamics are revealed in this investigation.deficiencies, processes and collaborations with various stakeholders involved.The development of the modern Microchip industry. The experimental data indicate that the world microelectronics industry exhibited the following characteristics. Revenue in FY 2025 was $791.7 billion, the largest amount yet. Based on mathematical projections, there are severe structural imbalances on the horizon that will reach the $1 trillion mark by 2026.continue to endure. In that place, the quality of the manufacturing capability remains high throughout a geographical area. All of these are located in specialized companies and nodes in specific regions. Ultimately, this the clear strategic guidance for private, institutional architects is identified by dissertation. The stakeholders were targeted for engineering resilient, balanced and technologically sovereign. A technological structure that would be able to support an equitable global technological development. The term artificial intelligence, semiconductors, geopolitical competition and supply chain are used. Furthermore, there is potential for various emerging technologies to influence.},
      keywords = {Resilience, Semiconductor Governance, India's Semiconductor Mission, Export Controls, Policy and Technology.},
      month = {June},
      doi = {https://doi.org/10.64388/IREV9I12-1718859}
  }