Despite uncertainty about whether Washington will come through with more funding, the chip industry is poised for growth, said Halla in a keynote at DesignCon.

"What’s needed is more funding for basic research, a desire to compete globally and an awareness of the role technology plays in our security and quality of life," said Halla, who also serves as chairman of the Semiconductor Industry Association.

SIA is not backing a particular legislative package for high-tech funding, Halla said. But it is encouraged by the recent State of the Union speech by President George W. Bush in which he pledged to double R&D funding, boost funding for math and science education and seek more liberal immigration policies for high-tech workers.

"The devil is in the details," said Halla, referring to the fate of various legislative proposals during what is expected to be a bruising budget battle.

Nevertheless, Halla presented a characteristically upbeat picture of a semiconductor industry poised for a new cycle of growth.

"I have never seen it so good," said Halla. "The real dot-com boom is here. The [railroad] track is in the ground, and we are just starting to light it up," he added, referring to the wealth of optical fiber installed during the late 1990’s.

Digital content, inexpensive client devices and ubiquitous wireless connectivity are driving chip growth, Halla said. "Forget consumer, forget IT. The semiconductor industry is being driven by content—whether it’s in the home, in the office or the car."

As for wireless, metro-area Wi-Fi networks are in the works in several cities, including San Francisco and Mountain View, just down the road from DesignCon. In addition, at least part of today’s analog TV spectrum is expected to shift to broadband wireless starting in 2009.

As for the boom in clients, today’s 60-Gbyte video iPod lets users "put your life in your shirt pocket," he said.

Halla said the emergence of 400 million middle-class consumers in China buying brand-name cellphones has ignited a new gold rush. Emerging consumer markets in India, China and Brazil will only fuel that growth, he added.

By: DocMemory
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