Semiconductor industry in Slovenia

Electronics Technical ArticlesSouth-East European INDUSTRIAL Мarket - issue 1/2025 • 04.03.2025

Slovenia, a relatively small but highly innovative country in Central Europe, is gradually making its way in the global semiconductor industry. Despite its size, Slovenia boasts a strong manufacturing tradition, highly skilled workforce, and an impressive focus on research and development activities. The Slovenian semiconductor sector has been steadily evolving, positioning itself as a key player in niche markets and specialized applications. In November 2024 the European Commission chose Slovenia as one of 24 member states to develop chip competence centers. For SMEs and startups in particular, the centers will offer vital resources for the development of semiconductor and chip solutions.

 

Strong electronics and electrical sector

Slovenia´s electronics industry, along with the electrical sector, is the fastest-growing manufacturing branch in the country, with exports increasing by over 43% between 2015 and 2019. The sector is driving a greener and digital future, providing essential components for e-mobility, smart grids, smart homes, and cities. With nearly EUR 5 billion of annual turnover and around 30 000 employees, the electrical and electronics branch is among the strongest in Slovenian manufacturing, with a value-added of approximately 44% of total sales.

Slovenia´s electronics and electrical industry, consisting of 933 companies, generated revenues of EUR 7,6 billion in 2023. These companies are mainly specialized SMEs, producing circuit boards, electronic components, optronic devices, telecommunication systems, and measurement equipment. Despite generating less than EUR 850 million annually, they create over EUR 300 million of added value. The country´s educated workforce, investment in research and development activities, and expertise in design, development, and engineering of cutting-edge products contribute to its success. Slovenia´s export markets are led by Germany, Italy, Croatia, France, and Austria.

Slovenia´s small electronics industry is crucial in specialized areas like optotronics, laser technology, medical instruments, and measurement devices. Slovenian-designed printed circuits are used in CERN´s Large Hadron Collider and major particle accelerators worldwide. Slovenia´s innovative products include medical laser systems, industrial sensors, LED optotronic devices, and laboratory equipment. The industry receives strong support from local research and academic institutions, with over 5% of revenue reinvested in research and development.

 

The microchip sector is thriving

Integrated circuits (ICs) have a long history in Slovenia, dating back to 1969 when the first transistor-based ICs were made. A Laboratory of Microelectronics was established at the Faculty of Electrical Engineering in Ljubljana, where various ICs were developed for Slovenian industry needs. Today, Slovenian solutions are found in consumer products such as RFID badges, contactless transactions in NFC smartphones, and electronic semiconductor components. The design and manufacture of microchips require in-depth knowledge of electrical engineering, electronics, microelectronic technologies, statistics, physics, computer science, signal processing, materials engineering, and microwaves.

New developments in design methods, technologies, materials, and customer requirements continue to shape the industry.
The establishment of competence centers for advanced semiconductor technologies in Slovenia was announced in 2024. The primary goals of these centers will be research, development, and prototype and pilot manufacturing. In order to help stakeholders create cutting-edge niche technologies and products, the competence centers will serve as one-stop shops for knowledge, integration, and support pertaining to crisps and semiconductor technologies. They will also offer an experimental and pilot environment, best practices, and other activities.

Slovenian microchips – locally created and manufactured, are in use worldwide. They are proof of the high degree of knowledge possessed by the Slovenian workforce in the field of microchips and semiconductors in general. The design, production, and testing of terahertz sensor systems are the main areas of research. These systems will be used in security devices to detect dangerous objects, identify potentially harmful or dangerous molecules in the air or detect explosives and drugs, detect and diagnose cancer in medicine, and develop integrated circuits for use in positron emission tomography, biometric applications, and space, where radiation protection is especially important.

Integrated photonic circuits, which are becoming an essential part of data centers (integrated transmitters) and whose applications are growing to include biomedicine, LIDAR, artificial intelligence, and quantum technologies, are being researched in addition to integrated electronic circuits.

In the R&D departments of the multinational companies STMicroelectronics (smart cards, contactless payments, RFID badges and readers), Renishaw, and Aviat Networks, as well as the Slovenian companies RLS Merilna tehnika (ICs for magnetic displacement and rotation measurements), Skylabs (ICs for space applications), Beyond Semiconductor,

Optomotive, and others, Slovenian engineers and master´s and doctoral students from technical faculties also design integrated circuits. Integrated circuits are being developed to the point where they can be produced by businesses that specialize in chip manufacturing.

At German-owned Diotec in Trbovlje, diodes and rectifier bridges are produced as part of the extensive industrial manufacturing of semiconductor circuits.

 

Semiconductor competency centers

As previously mentioned, Slovenia is one of the 27 semiconductor competence centers chosen by the European Commission. Assistance, training, and access to significant infrastructure resources, including design platforms and pilot lines, will be provided by semiconductor competency centers. After the Ministry of Digital Transformation assisted the Slovenian consortium in successfully submitting an application to the European call for proposals, it was selected to carry out the activities.

The consortium´s main Slovenian partner is the Faculty of Electrical Engineering at the University of Ljubljana. The consortium also includes the Jozef Stefan Institute, the University of Nova Gorica, the Faculty of Computer and Information Science at the University of Ljubljana, the Centre of Excellence in Nanosciences and Nanotechnology – Nanocenter Ljubljana, and the Faculty of Electrical Engineering and Computer Science at the University of Maribor.

Each center will capitalize on national and regional advantages while concentrating on specific vital technology areas. This strategic focus ensures sustained investment in local expertise and a relentless drive for innovation and growth. By integrating into a European network, the competence centers will promote the semiconductor industry and address the particular needs of regional ecosystems.

 

Projects, breakthroughs and startups

Slovenia is expected to significantly participate in EU-wide collaboration to develop advanced technology infrastructure through multi-country projects on cloud, semiconductors, blockchain, and quantum communication.

Slovenia´s government´s official website lists major projects in semiconductors and microchips, including the "Microelectronics-2" initiative. Starting in 2023 and ended in December 2024, the initiative strengthens EU Member States´ capacity to build and enhance EU autonomy and resilience in semiconductor value chains. Slovenia plans to participate in this initiative as part of the national Recovery and Resilience Plan – Digital Transformation of the Economy.

Slovenia´s semiconductor sector heavily relies on microelectronics. It is crucial for national security within the EU in addition to making a significant contribution to the competitiveness of European business. The Internet of Things (IoT), artificial intelligence (AI), communications (5G and future 6G networks), autonomous driving, new mobility, medical technology, and security/defense technologies are all built on top of it.

Recent ground-breaking developments from two Slovenian businesses, Beyond Semiconductor and Elaphe, demonstrate the revolutionary potential of European cooperation in microelectronics and sustainable mobility. The goal of this project is to develop motor control systems for electric vehicles by utilizing gallium nitride (GaN) and silicon carbide (SiC) technology. These materials are renowned for their exceptional durability and efficiency, providing a number of benefits above conventional silicon-based alternatives. This invention improves driving range and battery longevity by lowering energy loss during vehicle operation, two important aspects of the broad adoption of electric vehicles.

Gallium arsenide (GaAs) energy converter development is the subject of another creative project by Elaphe. The purpose of these converters is to convert surplus heat–which is frequently squandered in automotive and industrial systems – into useful energy. In addition to helping achieve more general energy efficiency objectives, this technology has the potential to drastically cut energy waste across industries.

Through its CONPARF project, Beyond Semiconductor is simultaneously making major advancements in radio frequency (RF) signal processing. The goal of this project is to create a novel method that has the potential to reshape the industry standard by integrating RF filters and digital logic onto a single semiconductor chip.

There are 68 initiatives in the wider IPCEI ME/CT network, which spans 14 EU member states. Collaboration between businesses, academic institutions, and governments is encouraged by this ecosystem, which propels innovation in important fields including sustainable mobility, communication technology, and microelectronics. Co-funding of the IPCEI ME/CT framework by the European Union and its member states highlights the common commitment to bolstering Europe´s technological sovereignty and tackling global issues such as digital transformation and climate change.

Semiconductors startups in Slovenia include more than 30 companies, among which a couple of Series A+ funded businesses, that manufacture or develop their own semiconductor ICs, electronic components and software for designing them, including digital, analog, MEMs, sensors, photonics, embedded hardware and software, display devices, EDA tools, etc.

 

Events

Slovenian exhibitors have long participated in Munich´s biannual trade show electronica. Examples include producers of specialized printed circuit boards, such as Elgoline or Intectiv, as well as some of the rapidly expanding technology firms, such as Elaphe and Instrumentation Technologies. However, among Slovenian participants in the most recent editions of electronica are some less familiar companies, such as Eltas – a producer of keyboards with membranes, L-Tek – specialized in smart emergency medical services (EMS), and Red Pitaya – a developer of cutting-edge, electronically reconfigurable lab equipment for use in a variety of sectors and research.

A major local event dedicated to advances in semiconductor technologies and chip manufacturing, and latest trends in micro-, nano- and quantum electronics and learning about recent achievements in the field of research and development of chips and semiconductors, is the Slovenian conference on chips and semiconductors "SLO-chip". Its third edition took place in January 2025, at the Faculty of Electrical Engineering of the University of Ljubljana.

The conference provided insights into research and achievements in chips and semiconductors, focusing on current challenges and exchanging new experiences. Participants included researchers, engineers, scientists, and industrial experts from Slovenia and abroad. The conference highlighted hotspots and frontiers of industry development, such as chips, sensors, and photonic integrated circuits. The conference also featured international experts from Austria, France, Croatia, the Netherlands, Taiwan, and the USA. New competence centers for chips and semiconductor technologies were also presented.

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