EFTS 2025 with VDE summer reception

Europe is increasingly under pressure. The geopolitical developments of recent years and the present must make us Europeans wide awake. We must take our future into our own hands. Young and aspiring engineers are also part of this future. Our future lies in the hands of young people and aspiring engineers in the fields of electrical engineering, electronics, and information technology. Today's under-35s will have to play a key role in shaping the future of Europe. We are all doomed to succeed, because otherwise Europe will lose out in the technological power struggle with the US and China.

That is why EUREL, as the European umbrella organization for engineers in electrical engineering, electronics, and information technology, together with its members under the leadership of the VDE from Germany, sees one of its priorities in establishing cross-border networks of students, young professionals, research, industry, politics, and teaching. We are breaking down barriers where they still exist and opening up new avenues for action. Only together can we create a framework for prosperity, stability, and peace in Europe. No one is driving forward issues such as microelectronics, artificial intelligence (AI), the energy transition, and cybersecurity as concretely as engineers in the fields of electrical engineering, electronics, and information technology.

The hot topic at this year's European Future Technology Summit (EFTS) is microelectronics. Under the title “Europe’s Comeback: Microelectronics, Resilience and Future Technology under the EU Chips Act”, more than 50 young and aspiring engineers spent three days in a workshop phase comprehensively examining the importance of modern microchips for AI applications, quantum computing, and many other future technology applications. Europe's location value, the development of global microchip production, and Europe's urgently needed technological sovereignty were also examined. In addition, the participants of EFTS 2025 were the first to be presented with the new VDE paper "Hidden Electronics IV" – even before it was sent to the responsible politicians in Europe and Germany. We would like to take this opportunity to thank all the speakers who agreed to hold a workshop.

Following the previous VDE/EUREL European Future Technology Summits entitled “Digital Trust in the Context of the EU AI Act: The New Challenge in the Age of Artificial Intelligence – Impact of Technology, Ethics, and Standardization” - EFTS 2023 and “Strengthening the Resilience of European Electricity and Communications Networks” - EFTS 2024, the event organizers at VDE Political Affairs were once again at the forefront of the political discussion in Brussels (and Berlin) – the EU Commission will shortly begin its evaluation of the EU Chips Act.

Microelectronics is a key technology for digitalization, energy, mobility, security, military defense, and industrial innovation. Semiconductors form the backbone of microelectronics. However, Europe's share of global chip production has fallen sharply from 20 percent (2000) to just 8 percent (2025). This poses a growing threat to our technological sovereignty and economic resilience.

With the EU Chip Act, Europe took an important step in 2023 to strengthen its position by investing in research, production, and crisis preparedness.

What happens next? How can Europe strengthen its semiconductor industry in the long term? Where are the greatest levers along the value chain? What joint steps are necessary to secure and actively shape technological sovereignty in a future-oriented manner, thereby establishing a strong, resilient semiconductor ecosystem in Europe?

The VDE and EUREL explored these questions at the European Future Technology Summit (EFTS) 2025.

Hardly any other region in Germany and Europe is as deeply rooted in microelectronics as the Free State of Saxony. Over the years, a microelectronics triangle has formed here, which also includes Poland and Czechia. It was therefore only logical that Christopher Lang, Deputy Director at the Representation of the Free State of Saxony to the European Union, outlined the role of the Free State of Saxony in microelectronics in his presentation “High-performance semiconductors Made in Saxony - how a German federal state contributes to strengthening European competitiveness in the future” thus opening the workshop day: Saxony combines a tradition of microelectronics, bright minds, entrepreneurial foresight, and smart political decisions. Immediately after reunification in 1990, the Saxon state government under Kurt Biedenkopf (CDU) recognized the great economic importance of microelectronics. He and his Minister of Economic Affairs, Kajo Schommer (CDU), made a strong commitment to maintaining and expanding the existing know-how in the state. The Free State of Saxony has also promoted the establishment of well-known companies in the industry. It is not without reason that the Free State of Saxony is also known as Silicon Saxony. Saxony works closely with European microelectronics regions within the framework of the European Semiconductor Regions Alliance (ESRA), which was founded in 2023 on the initiative of Saxony's Minister President Michael Kretschmer (CDU).

What is behind the Chips Joint Undertaking and what are its goals? Under the title “Chips Joint Undertaking – Role in the European Semiconductor Ecosystem” Eric Fribourg-Blanc, Senior Program Officer at Chips Joint Undertaking, reported to EFTS participants that Chips Undertaking is building a stronger ecosystem for semiconductors in Europe. It started with five pilot lines to close the gap between the lab and the market in the field of semiconductor technologies. Chips Joint Undertaking has 30 centers of excellence that will train and retrain workers in Europe in this field. In addition, a design platform for access to state-of-the-art design tools will be introduced by the end of 2025. The aim is to close the existing gap in the global market and make Europe an important player in the semiconductor sector once again.

The second day of workshops began with the topic of “Resilience of Communication Networks”. The speaker was Sigurd Schuster, who, in addition to his professional activities, is also a Member of the Board of the Information Technology Society within the VDE - VDE ITG and co-author of high-quality VDE publications on the topic of resilience: Given the dependence on reliable power and communication networks, those responsible in Europe must take potential interactions into account. To this end, it should be internalized that something can happen in either of the two networks that affects the other network. If this fact is considered consistently, the problem can be brought under control. Only then can the process of designing networks for fail-safety with various options begin. Finally, the human factor is also important. Users of modern communication tools need to know what to do. They need to understand what can happen in the other networks. Only when everyone knows what to do can communication services be restored consistently in the event of disruptions. Important message: “Of course, this doesn't come for free! Resilient power and communication networks cost more money than less resilient ones.”

“How Can Standards Support Europe’s Comeback in Power Grid Resilience and Microelectronics?” Cinzia Missiroli, Director of Standardisation and Deputy Director General at the European standardisation organisation CEN CENELEC, explored this question. For her, European standards are a strategic lever for regaining leadership in microelectronics and building truly resilient power and communications networks. By bringing together technologies such as artificial intelligence, cyber security and smart grids into a coherent system, standards make innovation secure, scalable and sovereign. “Standards may be invisible, but they are the backbone of innovation in Europe and turn visions into reality”.

The next speaker was René Schröder, Director General of ESIA. ESIA – the European Semiconductor Industry Association – is the voice of the semiconductor industry in Europe. Its main task is to represent and promote the common interests of the semiconductor industry based in Europe vis-à-vis European institutions and interest groups in order to ensure a sustainable business environment and strengthen its global competitiveness. His presentation was entitled: “Chips Made in Europe: Policy Frameworks and the Role of European Players”: Semiconductors are an important topic in political Brussels and in Europe. Many political developments and decisions are on the agenda for the coming years. Europe needs an overall strategy that addresses the semiconductor markets and examines the necessary incentives. European policymakers must work with European semiconductor stakeholders to decide how the framework for semiconductor competencies can be further developed.

Prof. Dr. Christoph Kutter, Director of the Fraunhofer Institute EMFT, VDE Vice President and co-author of the VDE publications on microelectronics ‘Hidden Electronics I, II, II and IV’, outlined the historical development of microelectronics and semiconductors in Europe, as well as the current state of microelectronics, its challenges and the measures necessary to revive microchips made in Europe. In his presentation “Hidden Electronics: Foundations of Smart Systems“ Prof. Kutter also gave EFTS participants an insight into the brand-new VDE paper Hidden Electronic IV, which was to be officially presented at the subsequent VDE summer reception in the evening at the Representation of the Free State of Bavaria to the European Union: “The EU Chip Act was a good measure by the European Commission. It provided positive impetus, for example for the installation of pilot lines and the construction of the TSMC factory in Dresden.” Keyword: Silicon Saxony. Overall, supporting microelectronics is a marathon, not a sprint. Europe must have stamina. Everyone involved must work on it. “Europe must draw up a European master plan and, of course, Europe also needs the EU Chip Act 2.0”

The traditional VDE Summer Reception in Brussels took place as part of the VDE/EUREL European Future Technology Summit (EFTS). It was a full house at the Representation of the Free State of Bavaria to the European Union. The theme of the evening, attended by over 200 invited international guests, was “Semiconductors Made in Europe: Securing competitiveness and technological sovereignty in a global context”.

In his opening speech, Tobias Gotthardt, State Secretary in the Bavarian State Ministry of Economic Affairs, Regional Development and Energy, outlined the big picture of microelectronics for Europe, Germany and, of course, the Free State of Bavaria. He emphasised the innovation-driving nature of microelectronics and praised the role that the VDE also plays for the Free State of Bavaria: "The role of the VDE in Bavaria, as a region that is strongly committed to technological development, is of crucial importance. We are aware that competitiveness always requires innovation and freedom of research, but also close cooperation between universities, companies and politics. We want to ensure this ecosystem, and the VDE is our strong partner in this endeavour. A strong European semiconductor industry is only possible if Europe acts in a united and forward-looking manner. We must consider the entire semiconductor ecosystem in Europe and also place greater emphasis on the role of the regions. The European Semiconductor Regions Alliance (ESRA) plays an important role here. The European Chips Act enables the promotion of R&D projects and significant investments in the microelectronics industry. Both are essential to strengthen our global competitiveness and, especially in times of geopolitical uncertainty, to increase our resilience at the same time.”

The first keynote speaker of the evening was Ansgar Hinz, CEO of VDE. In his usual pointed manner, he skilfully questioned the mistakes made by Europe in the past in terms of technology in general and microelectronics in particular. He was full of praise for the European Commission for passing the EU Chips Act, but also urgently called for an EU Chips Act 2.0. Setting high goals is very commendable, he said, but in order to achieve them, the necessary conditions must be created and the will and determination must be maintained. A positive attitude alone is not enough. “Microelectronics has become a matter of security, because those who do not have chips are vulnerable to blackmail and cannot build modern defence systems or secure critical infrastructure.” In order to regain its global position, Europe needs targeted and focused technology promotion covering the entire value chain: from research and development to packaging and component manufacturing.

Above all, Europe needs conditions that promote industry and investment. However, Germany/Europe is becoming increasingly unattractive for new chip factories due to high energy costs and uncertain framework conditions. “To build microchips in Europe, we need competitive prices, reliable rules and proportionate regulation.” With regard to the lack of young talent, the VDE CEO painted a rather bleak picture: “The shortage of competent and creative minds and qualified specialists will hamper the production of chips made in Europe. The global shortage of skilled workers is a pressing problem. In Germany alone – an important player in Europe – more than 13,000 electrical engineers are needed every year, but there are only 7,500 university graduates.” For Ansgar Hinz and the VDE, this discrepancy poses a considerable threat to our future. “Immediate action is needed, including the creation of additional university places, the provision of targeted training programmes and the development of special initiatives for young talent,” says Ansgar Hinz.

Essentially, Europe and Germany need to create an environment that promotes excellence in teaching and learning. This also means encouraging and challenging students at the same time. “Modern teaching methods and pedagogy that go beyond traditional curricula and methods must be used.” Where does the VDE CEO see the role of the technology organisation VDE in its responsibility for Germany and – as the largest technology organisation in the European Union – for Europe? With a printed copy of "Hidden Electronics IV" in his hand, the VDE CEO answers the question he has asked himself: "Today, the VDE presented its new position paper entitled Hidden Electronics IV. This paper serves as a wake-up call and a guide. The VDE not only identifies the challenges but also proposes possible solutions. The VDE traditionally assumes the role of advisor to political leaders in the EU and Germany. This cooperation is essential to ensure that Europe has a real chance of regaining its sovereignty in the microelectronics industry. This can only be achieved if all three crucial factors are addressed simultaneously: technological progress, strategic location and a skilled workforce."

It couldn't have been more fitting: the next keynote speaker was Pierre Chastanet from the European Commission, DG CONNECT, Head of Unit for Microelectronics and Photonics. Chastanet is also responsible for implementing the EU Chips Act. Chastanet began his keynote address with a charming statement directed at Germany: “Semiconductors are at the heart of all modern digital technologies. Whether in your BMW, your Siemens washing machine, an AI data centre or a smart power grid – semiconductors are everywhere.” This was followed by a very realistic and honest assessment of the geopolitical context.

Since the EU Chips Act 2023 was presented, the global geopolitical environment has changed dramatically. The semiconductor industry is experiencing major market changes with massive public investment worldwide. Everyone is striving to master this important technology. The pressure on European players to keep pace in this extremely capital-intensive sector is enormous. In China, for example, there is a risk of overcapacity in some segments due to excessive public support through non-market-based policies and practices. Equally worrying are the emerging risks from “the close partner across the Atlantic”. For example: US export restrictions on AI technology – including AI chips – and possible tariffs on chips manufactured in the EU – in addition to the recent tariff agreement between the EU and the US. The European Commission is, of course, monitoring the increasing tensions in the Taiwan Strait – a region whose stability is crucial for the global semiconductor supply chain. Any disruption could have a profound impact on European economies, as 90% of advanced chips are manufactured in Taiwan. Geopolitical developments pose serious risks to Europe. Europe remains strategically dependent on other regions for important parts of the semiconductor value chain.

The revision of the EU Chips Act – the planned Chips Act 2.0 – must directly address these risks. Europe must strengthen its position in both advanced manufacturing and AI chip design. The EU Chips Act has been a “pioneer for Europe”. Since its introduction, investments of over €80 billion have been announced in manufacturing, helping to secure supply in key segments and bring new technologies to the EU. More than 80% of the research, development and innovation programme has already been implemented under the Chips Joint Undertaking.

Specifically: setting up five advanced pilot lines to bridge the gap between laboratory innovations and industrial manufacturing. Building capacity to accelerate the development of quantum chips. Creation of a network of competence centres across the Union, ensuring representation in each Member State. A chip fund has been set up to facilitate access to debt and equity financing and to support start-ups, scale-ups, SMEs and small mid-cap companies in particular. A design platform is currently being set up. In terms of capacity building, there is strong participation from leading European companies such as Infineon, Bosch, STMicroelectronics and NXP. At the same time, new players and technologies are being attracted. Specifically, the European Semiconductor Manufacturing Company (ESMC) – a joint venture between the world's leading chip manufacturer TSMC and Bosch, Infineon and NXP to build and operate a large microchip manufacturing facility in Dresden with a total investment volume of over €10 billion. Thanks to the EU Chips Act. In connection with this ESMC project, TSMC recently announced that it will open its European design centre in Munich in the third quarter of 2025. This design centre will support the development of powerful, energy-efficient chips. It is part of TSMC's global network and serves key sectors such as automotive, AI, industrial, telecommunications and IoT.

These successes confirmed that the EU Chips Act was working as an instrument. A full review of the EU Chips Act would now follow by 2026 – this was not a mere formality, but a welcome opportunity to reaffirm the relevance of the Chips Act, close any gaps and adapt it to the geopolitical context described above. The EU Chips Act 2.0 should build on previous successes, expand its scope and attract further public and private investment. It must also lead to closer integration between the supply of semiconductors and the demand from key European sectors such as the automotive industry, aerospace, healthcare, telecommunications, industrial robotics and defence. Two strategic challenges remain: 1. lack of advanced design and manufacturing, and 2. resilience and security of the supply chain.

Pierre Chastanet could not have provided a better transition to the subsequent panel discussion. The discussion, moderated by Kristine August, was attended by Prof. Dr. Christoph Kutter (Director of the Fraunhofer Institute EMFT, Munich) and the two keynote speakers Ansgar Hinz (CEO of VDE) and Pierre Chastanet (EU-COM/DG CONNECT Head of Unit Microelectronics and Photonics Industry). Although the three panellists came from very different fields in relation to microelectronics, the common thread running through the discussion was the desire to work together for Europe and to advance Europe. Everyone was clear that the challenges of the present and future in Europe can only be mastered together – indeed, they must be mastered together, and quickly. This was also confirmed by the questions from the audience, regardless of which area of chip production the question was asked about. Overall, the guests at the Representation of the Free State of Bavaria to the European Union experienced a lively and positive discussion. Before the social part of the evening could begin, it was time to honour excellent young engineers from all over Europe.

One of the judges, Prof. Dr. Andreas Ulbig from RWTH Aachen University, travelled to the award ceremony for the EUREL PhD Best Paper Award 2025: "The EUREL PhD Best Paper Award recognises the tireless commitment and scientific quality demonstrated by doctoral students from EUREL member countries in technical disciplines. It is also intended to serve as an incentive and motivation for others to apply to universities to conduct research as doctoral students in the field of electrical engineering. The criteria for the Best Student Paper Award are, of course, primarily scientific quality and then, of course, the contribution of the doctoral student as the first author.”

The Winners of the EUREL PhD Best Paper Award 2025 are:

1st prize: Theresa Antes, KIT Karlsruhe, Germany

2nd prize: Jonathan Bott, Ruhr University Bochum, Germany

3rd prize: Darko Brankovic, Graz University of Technology, Austria

Finally, it was time to honour the winning teams of the EUREL TOPSIM International Management Cup (IMC). The IMC is open to young and aspiring engineers from EUREL member organisations and offers a unique opportunity to test management skills in an innovative online business simulation tailored specifically to the electrical, electronics and information technology industry.

Over 100 students and young engineers from all over Europe and beyond took part in the EUREL TOPSIM International Management Cup 2025. A total of 39 teams with participants from nine countries – including Hungary, Romania, Germany, Switzerland, Austria, Poland, Israel, Slovenia and Spain – competed for the top three places, which were invited – like the winners of the EUREL PhD Best Paper Award – to the award ceremony in Brussels.

The award ceremony was conducted by the two TOPSIM experts Katrin Muth and Patrick Müller, who supervised and challenged the teams during the competition. The guests were, of course, informed about what the IMC is all about: "Imagine the following: You are suddenly the CEO of a company. The company simulated in the business game has more than 1,000 employees and manufactures 40,000 printers annually. Its equity capital amounts to 30 million euros. The market is uncertain, and the competition is fierce. Every decision that is made – in sales, research and development, production and accounting – determines whether the company flourishes or falls behind. That was the reality for six weeks at the EUREL-TOPSIM Management Cup. Each team slipped into the role of management and took responsibility for five financial years of a virtual company. They made the most important decisions for the company. And they did so in direct competition with each other on the printer market. In this safe, risk-free environment, the participants experienced first-hand what it means to run a company. They faced real challenges – economic downturns, higher material costs and many situations that we are familiar with from real life." The following three teams mastered all of this with flying colours:

1st Place: Dunder Mifflin Paper Company, Inc. from Slovenia
Zala Slapnik and Rok Sesel
The team pulled ahead of the competition early on and secured first place in financial years three, four and five. Their victory is based on the highest net profit in the fifth year and the strongest equity capital across all years. An outstanding achievement.

2nd Place: SEPuku Druk from Poland
Alexander Gawinski, Piotr Lapka and Michal Czyz
After finishing third in the fourth financial year, the team climbed to second place in the fifth year. SEPuku Druk achieved the highest turnover in the entire market with 65,000 units sold. A truly fantastic achievement.

3rd Place: OMNIPRINT from Hungary
Dániel Veres, Mihály Katona, Balázs Tóth & Dávid Bohunka
They started a strong comeback in their fourth year of business and secured third place in their fifth year. This success is due to their efficient use of personnel, intelligent handling of production equipment and impressively low unit costs. Well done and congratulations!

What had already been unofficially carried out the previous weekend and on the evenings/nights during the EFTS was given an official touch on the last day of EFTS 2025: the obligatory City Tour with a comprehensive excursion into the history and urban geography of Brussels. Before that, however, there was a visit to the European Parliament. MEP Moritz Körner (Renew Europe Group) had invited the group to an exchange. MEP Körner spent almost two hours answering questions from the group of 50 young and aspiring engineers. At the young age of 35, Moritz Körner was a good fit for the group in terms of age. The exchange was correspondingly relaxed yet profound and rich in content, with the many questions from the EFTS participants being answered comprehensively. MEP Moritz Körner had already addressed the EFTS 2023 with a special message of greeting to the participants of the EFTS at that time. Many thanks to MEP Moritz Körner and his team!