Abstract :
Europe´s grip on the chip industry has faltered badly. The article discusses about Europe´s shrinking manufacturing expertise on its semiconductor industry. It looks on the challenges of Europe to create a sustainable businesses in such a knowledge-intensive sector as semiconductors. The mid-term test of the viability of the European chip industry has to be whether it can sustain a critical mass of manufacturing, markets, skills, financiers and entrepreneurs to enable companies started at Europe to grow into thriving listed global businesses.