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1. Strengthening a Transnational Semiconductor Industry

Author:
James Lewis
Publication Date:
06-2022
Content Type:
Special Report
Institution:
Center for Strategic and International Studies
Abstract:
If data is the new oil, it could be said that chips are the new steel—a fundamental component of national power similar to the foundational role steel production played in the industrial age. As such, semiconductor chips are a natural focus for government intervention and support to accelerate growth and build secure supply chains. The specific goals for U.S. semiconductor policy are to increase reliability and trust in supply, reinforce all elements of chip-making capacity, and reduce China’s role in the supply chain. Chip production is based on complex, globally distributed, specialized supply chains involving many stages in production, including specialized materials, production equipment, design and related software, fabrication, testing, and packaging. In some stages of production, labor costs are important; in others, it is capital costs because a cutting-edge fabrication plant, or fab, can cost more than $12 billion. Taiwan, South Korea, the United States, Japan, Singapore, and China are the leading chip-producing nations. There are also important facilities (often subsidiaries of a leading producer) in Europe, Southeast Asia, South America, and Israel. This global distribution has led some to push for greater production in the United States, but trying to “reshore” a global supply chain spread across many countries would be counterproductive if the goal is a reliable and more productive supply chain. The problem is China, not global production. The politics of the chip industry are generally favorable to the United States. One leading producer, South Korea, is a treaty ally and faces less risk of disruption from China than does Taiwan. Another leading producer, Japan, is one of the most important U.S. security partners and, with the United States, dominates the production of semiconductor manufacturing equipment (SME). ASML, another leading producer of SME, based in the Netherlands, is also an important ally. Singapore, while it would prefer not to be caught in a battle between giants, is also a dependable partner. These countries share democratic values and in many instances are treaty allies. The global distribution of chip-making in countries friendly to the United States is an advantage.
Topic:
Science and Technology, transnationalism, Emerging Technology, and Semiconductors
Political Geography:
Global Focus

2. The Digital Literacy Imperative

Author:
Romina Bandura and Elena I. Mendez Leal
Publication Date:
07-2022
Content Type:
Policy Brief
Institution:
Center for Strategic and International Studies
Abstract:
Reading, writing, and numeracy: these are foundational skills people learn at school and continue using throughout their lifetimes. But as societies evolve and technology progresses, the learning needs and demands of one generation change for the next. Curriculums in educational institutions must keep up with these changes to reflect the new realities. They do so by removing outdated content, incorporating new disciplines, and innovating with new educational tools and techniques. While previous American generations learned Latin and shorthand, current generations learn Spanish or French and practice typing. In many public schools across the United States, cursive handwriting is no longer taught. Children now practice writing and typing using new technology such as tablets and computers, not typewriters. In advanced countries, educational equipment such as blackboards, chalkboards, and even whiteboards have been replaced with high-tech tools such as Promethean boards. While numeracy and basic literacy are still fundamental to learning, digital literacy has emerged as another critical life skill and is now, per the World Economic Forum, part of the twenty-first-century toolkit (see Figure 1). Beyond basic literacy, digital skills have become indispensable for every global citizen, whether to communicate, find employment, receive comprehensive education, or socialize. More than 90 percent of professional roles in across sectors in Europe require a basic level of digital knowledge and understanding. This need has become even more evident during the Covid-19 pandemic, making it more urgent for countries to embrace digital technologies and their associated skills.
Topic:
Education, Science and Technology, Digitalization, and Digital Literacy
Political Geography:
Global Focus

3. Hard Choices in a Ransomware Attack

Author:
Emily Harding and Harshana Ghoorhoo
Publication Date:
09-2022
Content Type:
Special Report
Institution:
Center for Strategic and International Studies
Abstract:
Ransomware attacks started as a novelty but have now become a clear and present danger to entities of every size and function. The number of ransomware attacks and the price of demanded ransoms have escalated steeply since 2018. Legislation and policy have not kept up. Policymakers have sought to shape the incentive structure for victims to incentivize defense and disincentivize ransom payments. While they are sympathetic to businesses who fall victim to these attacks, which can sometimes be existentially threatening, few policymakers (or their staff) have ever experienced the shock of an attack firsthand and, as a result, are searching with incomplete information for the right combination of carrots and sticks that will help victims and hurt attackers. This report aims to put the reader in the shoes of the victim—the shocking, powerless moment of realization of a ransomware attack. It walks through a set of decisions that victim must make on their worst day and in the weeks to follow. How well an entity succeeds in navigating that peril depends on decisions made well before an attack, so the report also makes recommendations for both government and industry on how to encourage preparation and simple defensive steps.
Topic:
Security, Science and Technology, Cybersecurity, and Cyberspace
Political Geography:
Global Focus