Nigeria and the huge potential of semiconductor technology
By Shehu-Tijjani Abdullahi
TECHDIGEST – The next few years for Nigeria’s semiconductor industry are critical. With the right policies, collaborations, and investments, we can transform Nigeria into a semiconductor hub.
With the increasing importance of semiconductors, there is the need for a dedicated agency for semiconductor development in the country. Semiconductor technology underpins every sector, making it a global necessity. As such, developing a specific agency focused on semiconductor technology is vital. It’s not about the government running it directly, but rather supporting the private sector…to unleash the potentials of the industry and its vast value chain.
Valued globally at over $500 billion in 2021 and set on growing into a £1 trillion by 2030, semiconductor technology and the industry that it has spawned holds the key to a new era of economic growth, technological innovation, and local content development, that would be highly beneficial for Africa, and certainly Nigeria.
If one observes global trends, leading nations like the United States of America and China are investing heavily in semiconductor technology, and its huge potentials is part of what informs some of their recurrent trade wars. Importantly, the events of 2020 during the high point of the COVID-19 pandemic revealed the world’s vulnerability, due to inadequate semiconductor investment, in relation to a product which is becoming the brainbox of the modern smart world.
This exposed a significant gap in chip manufacturing, leading to supply shortages. Notably, the fierce competition between China and the US continues to deepen and is centred around the huge growth and advantages of companies like Taiwan Semiconductor Manufacturing Company (TSMC), a pioneer in this field.
Semiconductor technology can help address economic challenges in Nigeria, as a breakthrough in semiconductor technology can significantly impact our economy. As such, by processing raw materials locally, like silica sand, and exporting semiconductor products, we can generate substantial foreign exchange revenue.
Establishing industries for wafers and chips production will create jobs and boost our economy. This self-sufficiency can even stabilise our currency. For instance, if we process silica sand and produce wafers locally, companies like Samsung, Tesla and TSMC could be interested, resulting in a surge of foreign exchange earnings.
While the journey has just started, a collaboration of Amaltech, the National Agency for Science and Engineering Infrastructure (NASENI), Nigerian Content Development and Monitoring Board, Ministry of Solid Minerals, and the Ministry of Communication and Digital Economy can usher Nigeria into semiconductor prominence.
Semiconductors are the foundation of electronic devices, and chips – a brainbox of smart technologies – are produced from semiconductor materials. These materials, like silicon derived from silica sand undergo processing to form wafers, on which chips are printed.
The manufacturing process is similar to producing PCBs, but with higher complexity. Semiconductors are integral to daily life – they power devices like phones, electronic cars, Artificial Intelligence and Virtual Reality, etc. Nigeria can become a global power by excelling in semiconductor technology, as such our government really needs to seriously emphasise this potential.
My personal journey in the semiconductor venture began as a software engineer who was intrigued by how devices worked. My initial fascination with software engineering eventually led me to delve into the world of hardware development. This led me to explore hardware and understand the manufacturing process.
I graduated with a First-Class Degree in Information Technology and Business Information Systems from Middlesex University, and this laid a strong foundation for my career. In addition, a passion for local content development and technological advancement drives me.
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The potentials of the semi-conductor industry led me to found Amal Technologies Nigeria Ltd, a home-grown hardware manufacturing company in 2018. And, we have been at forefront of driving research and development in semiconductor technology.
While the journey has just started, a collaboration of Amaltech, the National Agency for Science and Engineering Infrastructure (NASENI), Nigerian Content Development and Monitoring Board, Ministry of Solid Minerals, and the Ministry of Communication and Digital Economy can usher Nigeria into semiconductor prominence.
With the increasing importance of semiconductors, there is the need for a dedicated agency for semiconductor development in the country. Semiconductor technology underpins every sector, making it a global necessity. As such, developing a specific agency focused on semiconductor technology is vital. It’s not about the government running it directly, but rather supporting the private sector, and companies like ours, Amal Technologies, to unleash the potentials of the industry and its vast value chain.
Leading countries like India and China follow this model, with the government providing incentives and policies. Private companies are more agile in executing such initiatives.
The huge numbers of Nigeria’s technology savvy youths, with many of them gaining sophistication by the day, presents a virile human resource base for the flourishing of the sector. They can contribute to the semiconductor journey, theyare incredibly talented, and many Nigerians already work in overseas semiconductor companies. To harness this potential, we must create awareness and emphasise semiconductor’s importance.
This technology can drive job creation, local content development, and innovation. By showcasing successful examples like Amaltech, we can equally inspire young Nigerians to contribute to this transformative field.
I could say that our dedication to technological advancement is reshaping the landscape of the country’s tech industry. A significant milestone was achieved in 2021 when Amal Technologies forged a ground-breaking partnership with Nigerian Content Development and Monitoring Board (NCDMB) to establish a cutting-edge manufacturing plant in Abuja.
The next few years for Nigeria’s semiconductor industry are critical. With the right policies, collaborations, and investments, we can transform Nigeria into a semiconductor hub. Our local industries will flourish, job opportunities will surge, and we will experience technological advancement that rivals that of the global leaders.
Equally, my commitment to enhancing everyday life through technology is exemplified by the “Amal IoT Gas Detector” developed by Amal Technologies to monitor gas and smoke leakages, which triggers timely alerts via text messages or calls on the basis of the severity of the threat.
This innovation underscores our vision of leveraging technology for practical safety solutions. Also, we are not only involved in contributing to solving Nigeria’s energy challenges through the production of smart meters, but we are involved in payments through an innovative payment solution that is remarkably different by accepting payment offline and enhancing financial inclusion in rural areas.
With a resolute focus on sustainable progress and economic growth, Amaltech is in the forefront of steering Nigeria towards a future marked by self-reliance and huge technological capabilities.
Importantly, we understand the importance of nurturing local solutions that cater to domestic demands, while positioning Nigeria as a global contender in the consumer electronics sector. The focus on fostering local content development, driving innovation, and delivering practical solutions is fundamentally reshaping Nigeria’s technological narrative.
I could say that our dedication to technological advancement is reshaping the landscape of the country’s tech industry. A significant milestone was achieved in 2021 when Amal Technologies forged a ground-breaking partnership with Nigerian Content Development and Monitoring Board (NCDMB) to establish a cutting-edge manufacturing plant in Abuja.
This plant, which of Sub-Saharan Africa’s pioneer in commercial printed circuit board (PCB) and assembly (SMT) production, is propelling Nigeria into the global forefront of hardware manufacturing. The strategic initiative aims to bridge the gap between innovation and practical application.
Shehu-Tijjani Abdullahi, the CEO of Amal Technologies, writes from Abuja.