For anyone overwhelmed with the air of gloom and despondency which is spreading through the industry at the prospect of a major downturn, I suggest two recent UK success stories make the situation seem far from hopeless.
The key is UK-generated RF and microwave technology. But don’t think of mobile phones, think of embedded wireless and space systems.
While the move to 4G and femtocells will undoubtedly be important for the industry in the next few years, there are good reasons to believe that high profile technology moves in the area of space research will also benefit the local electronics industry.
ESA’s decision before Christmas to create a space centre in Oxfordshire could ultimately been seen by the electronics industry as the most significant announcement to be made this year.
The UK has considerable expertise in the area of space technologies and ESA’s decision, which is backed by a commitment from the UK Government, will mean that companies and research group will have the benefit of long term projects with significant and guaranteed funding.
Previous investment in space by the UK government resulted in a ten-fold return on investment. So the significance of the announcement was recognised by Sir Martin Sweeting, chairman of Surrey-based satellite technology company SSTL: “We greatly appreciate the vision shown by the UK in taking such a strong position in these difficult financial times.”
Major projects like the Mars mission, along with other publicly-funded infrastructure projects such as the 2012 Olympics, will provide commercial opportunities of technology companies.
But the industry is just as likely to benefit from less high profile markets such as smart energy meters which rely on embedded wireless and sensor technology.
Space research is exciting, but it is just possible that the most important drive in the sector over the next few years will be more mundane. The drive to greater energy-efficiency.
The role of electronics systems in improving energy efficiency of anything from basestations and hybrid vehicles to washing machines is obvious. In particular, the design and deployment of smart-meters could potentially open up the widest range of business opportunities for UK-based electronics companies.