Nigeria, Africa’s largest economy, may be on the verge of a technological revolution—if it chooses to act. Adebunmi Kayode, a Nigerian graduate student at the University of Wisconsin-Madison in the United States, has made a compelling call for the Federal Government to embrace the trillion-dollar semiconductor industry as a strategic path for national economic transformation.
In his recently published research paper titled “Nigeria’s Semiconductor Industry: A Game-Changer for Economic Diversification,” Kayode argues that with bold investment, coordinated government policy, and the right international partnerships, Nigeria can position itself as a key player in the global semiconductor value chain.
According to McKinsey & Company, the global semiconductor industry was worth over $600 billion in 2021 and is expected to exceed $1 trillion by 2030. Demand for semiconductors—used in everything from smartphones and electric vehicles to artificial intelligence (AI) and data centers—is projected to continue growing as the Fourth Industrial Revolution accelerates.
Despite having the raw materials essential for semiconductor manufacturing, such as silicon, copper, and boron, Africa contributes less than 1% to the global semiconductor output. Nigeria, in particular, has yet to tap into its potential in this sector. Kayode believes this is a critical gap in the country’s drive for industrialisation and digital competitiveness.
“We Can No Longer Afford to Be Just Consumers”
“Nigeria cannot afford to be just a consumer in the digital economy,” Kayode stated. “We must evolve into creators and producers, especially in high-value sectors like semiconductors. It is the foundation for 5G, cloud computing, smart manufacturing, defence, and the AI revolution.”
He stressed that without home-grown semiconductor capabilities, Nigeria risks lagging behind in key areas of economic security, technological sovereignty, and innovation.
To kickstart this ambition, Kayode called on the Federal Government to establish a National Semiconductor Policy under the Ministry of Science, Technology and Innovation. This policy would serve as a blueprint for:
Guiding investment into research and development (R&D)
Regulating industry practices for safety, innovation, and sustainability
Forming international partnerships with leading semiconductor nations like the U.S., Taiwan, and South Korea
Developing infrastructure such as chip fabrication labs, cleanrooms, and technology parks
Expanding talent development through scholarships, engineering programs, and vocational training
If Nigeria invests in semiconductor R&D and manufacturing, it could create thousands of high-paying technical and engineering jobs, catalyse innovation hubs across the country, and significantly boost its GDP. The long-term effect, Kayode says, would be reduced reliance on oil revenues and a more resilient, diversified economy.
“From the Niger Delta to the tech ecosystems of Lagos and Abuja, semiconductor investment can reshape regional development,” he noted.
Countries such as India and Vietnam, once considered peripheral to the high-tech sector, are now making huge strides in chip production by leveraging international partnerships and aggressive industrial policies. Kayode urges Nigeria to adopt similar models tailored to its context.
He also recommended that Nigeria lead regional cooperation efforts within the African Continental Free Trade Area (AfCFTA) to build a continental semiconductor alliance focused on pooling resources, sharing infrastructure, and harmonizing regulations.
As the world races towards an increasingly digital future, Nigeria faces a choice—either remain on the sidelines or become a strategic contributor to one of the most valuable industries of the 21st century. Kayode’s call is timely, and it challenges the Nigerian government to act decisively in shaping a future where innovation drives economic inclusion and global competitiveness.