True demand-driven semiconductor supply chains for Europe

SC4EU, a collaborative Innovation Action aims at strengthening European digital sovereignty by mitigation of the chip shortage through reduction of bullwhip effect in the semiconductor industry and supply chains containing semiconductors.

This will be reached via a “truer”-demand signal gained from an anonymous MPC (Multi-Party Computation) survey on coarse granularity which will be broken down via AI methods to fine granularities following the semantic web based digital reference structure.The bullwhip effect has led to a range of negative outcomes, including excessive inventory, inventory write-offs, decreased revenue, workforce reduction, and ultimately, significant shortages, as observed in the last COVID years, during the financial crisis in 08/09 and during the .com crisis in the Zero Years.The ambition of SC4EU consortium is to overcome these obstacles and to obtain high-quality, reliable data for semiconductor demand forecasting.

In the solution proposed by SC4EU, data should be gathered via an anonymous survey based on Multi-Party Computing technology. Anonymity and security of data flow will encourage business partners to share their true demand data.

Then, the gathered data will be mapped onto ontologies (semantic representations of the semiconductor industry) and processed with AI tools for demand breakdown of fine granularity.