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MARKET RESEARCH | SILICON AMBITIONS
How Egypt, Saudi Arabia, and Oman Are Building

the Middle East’s Chip Future

By Mohammed Tmimi

n the past few years, the semiconductor industry has been thrust into the spotlight as geopolitical tensions, global
supply chain disruptions, and the race for technological dominance have revealed just how crucial—and vulnerable—the
semiconductor supply chain really is. Today, governments around the world see semiconductors not just as a business
Iopportunity but as a matter of economic independence and national security.

For countries in the Middle East, this wake-up call has sparked Its strategy rests on two pillars:
something bigger. A new chapter is unfolding in which building local · An Innovation Pillar supports local fabless semiconductor startups,
chip ecosystems isn’t just a policy goal but a bet on the future. fostering innovation and product development.
In Saudi Arabia and Oman, building a local semiconductor industry · A Manufacturing Pillar encourages labor-intensive electronics
is part of a bigger plan to reduce their economies’ dependence on oil manufacturing to create job opportunities. Egypt now hosts major
revenues and create high-tech industries that can drive future growth. manufacturing operations from global giants such as Samsung and
These countries are thinking long-term, investing in talent, infra- LG, as well as homegrown industry leaders such as Elsewedy (smart
structure, and partnerships to develop homegrown capabilities in chip meters) and Elaraby (consumer electronics).
design and manufacturing. Egypt’s semiconductor strategy deliberately avoids the high costs
Egypt, for its part, is not starting from scratch. The country has a associated with building semiconductor fabs by focusing instead on
long history in microelectronics and semiconductor design, with a the strategic strength of design and system integration until the local
strong base of engineers, research centers, and startups already active ecosystem is robust enough to justify larger-scale investments.
in the space. Egypt is now looking to scale up by attracting investment,
expanding its ecosystem, and cementing its position as a regional Global companies bet on Egyptian talent
design hub. The strong local talent pool, particularly in electrical engineering and
This article takes a closer look at how Egypt, Saudi Arabia, and Oman embedded systems, has not gone unnoticed by international com-
are stepping into the semiconductor spotlight. It covers their recent panies. Over the past decade, global tech giants have opened design
initiatives, investments, and collaborations over the past three years to centers in Egypt for IC and IP development, integrating Cairo into their
show how each country is building its own path in this critical industry. global design networks:
· STMicroelectronics established a large R&D center in Maadi Tech
EGYPT: A RISING HUB FOR SEMICONDUCTOR Park, focusing on digital and microcontroller designs.
INNOVATION AND DESIGN · Goodix Technology, a major Chinese chip designer, opened a Cairo
Egypt has steadily built one of the most vibrant semiconductor ecosys- office to work on IoT and automotive semiconductor solutions.
tems in the Middle East and North Africa region, though that success · MediaTek, one of the world’s top fabless companies, recently
didn’t happen overnight. The effort got underway nearly 20 years ago opened a design center in Cairo, reinforcing Egypt’s role in global
when Hisham Haddara, a former executive at Memscap and Mentor chip design.
Graphics, cofounded Si-Ware Systems, Egypt’s
first fabless semiconductor company. At the
time, the idea of designing advanced chips in
Cairo sounded ambitious, if not unrealistic.
But that bold move planted the seed for what
would become a thriving ecosystem built
around Egyptian engineering talent and a
long-term vision for global competitiveness.
Egypt’s reputation in chip design has grown
steadily, attracting the attention of global
players and inspiring a new generation of
local semiconductor entrepreneurs.

National strategy to scale up
‘Egypt Makes Electronics’
The Egyptian government launched the
“Egypt Makes Electronics” (EME) initiative in
2016 through the Ministry of
Communication and Information Technology.
Updated in recent years as EME 2.0, this strat-
egy laid the foundation for scaling Egypt’s
electronics and semiconductor sectors.
Egypt aims to position itself as a regional Courtesy of Hisham Haddara, CEO and chairman of Si-Ware Systems, and presented at
hub for electronics and semiconductor design. GSA Cairo 2025

www.eetimes.eu | JUNE 2025