Semiconductor & Technology Law

The UK semiconductor industry is becoming increasingly important to the country's technology, manufacturing and national security objectives. For semiconductor businesses, however, growth also brings a more complex legal and regulatory environment.

The legal issues facing semiconductor companies extend well beyond intellectual property.

What should semiconductor businesses consider?

Intellectual property:Chip designs, semiconductor technology, software, technical processes and know-how can represent a company's most valuable assets. Businesses should ensure that ownership, licensing and confidentiality arrangements are properly documented.

Export controls:Semiconductor products, software and technology may be subject to UK strategic export controls. Exporting controlled items without the appropriate licence can constitute a criminal offence. (GOV.UK)

Investment and M&A:The National Security and Investment Act 2021 can be relevant to acquisitions and investments involving sensitive technology and semiconductor businesses. The Government's latest annual report confirms continuing scrutiny of transactions on national security grounds. (GOV.UK)

Commercial contracts and supply chains:Semiconductor manufacturers and suppliers need robust contracts dealing with delivery, quality, intellectual property, confidentiality, shortages, manufacturing capacity, warranties and liability.

Technology and confidentiality:The protection of technical information, manufacturing processes and commercially sensitive data is particularly important where businesses operate across international supply chains.

The commercial message

For semiconductor and advanced manufacturing businesses, legal risk is increasingly interconnected. An acquisition may raise national security issues; a supply contract may involve intellectual property; and an international technology transaction may raise export-control questions.

Businesses operating in this sector therefore need legal advice that understands the relationship between technology, intellectual property, manufacturing, commercial contracts and regulation.

Our specialist business lawyers advise technology and advanced manufacturing businesses on commercial contracts, intellectual property, M&A, regulatory issues and strategic transactions.