As global trade tensions escalate, semiconductor companies are caught in the crosshairs of competing national security interests and tightening export controls. But while policymakers focus on where chips are made, a quieter threat looms: how design data is shared.
For operations and supply chain leaders, mishandling engineering data could expose businesses to compliance penalties, IP theft, or supply delays that undermine competitiveness.
Design Data: The Overlooked Weak Link in IP Security
Semiconductors are at the heart of everything from AI to defense. That centrality makes them a geopolitical flashpoint, one governed by stringent regulations like the Export Administration Regulations (EAR) and International Traffic in Arms Regulations (ITAR). These controls don’t just cover finished machines like ASML’s EUV lithography systems, they extend to every drawing, spec, or simulation shared with suppliers.
For operations leaders, this spells trouble. Supply chains for these machines span up to 57 countries and involve thousands of suppliers. Yet even as the need for design collaboration intensifies, most companies still rely on insecure, untraceable data-sharing methods like email and FTP.
A recent CoLab survey found that only 6% of engineering leaders think suppliers should have full access to product lifecycle data, but most lack alternatives that offer both control and usability.
This has resulted in a growing tension between protecting IP and enabling technical collaboration. “If suppliers don’t understand the design, you lose quality and time. If you overshare, you breach compliance or lose IP,” says Adam Keating, CEO and Co-Founder of CoLab said in a statement. “Right now, many companies are doing both.”
Rethinking the Operating Model for Distributed Supply Chains
The drive to de-risk by shifting to domestic suppliers—especially in the U.S.—is logical but far from straightforward. New supply networks take years to mature, and many domestic firms lack the expertise needed for advanced semiconductor tooling. Deloitte estimates a shortfall of 90,000 skilled workers in the U.S. chip industry in the near future.
That puts the burden on supply chain and operations teams to redesign supplier onboarding processes, manage IP transfer, and ensure compliance—all without slowing down development. It’s a balancing act few are equipped to pull off using legacy tools.
Leaders at companies like ASM and ASML are already adapting. They’re deploying Design Engagement Systems (DES) that plug into PLM and ERP platforms, automate access controls, and retain full traceability over who sees what and when. These platforms allow engineers to review designs and provide feedback without downloading sensitive files—drastically reducing the risk of leaks or compliance violations.
And it’s not just about security. DES systems preserve institutional knowledge, accelerate the onboarding of new suppliers, and support scalability—especially vital in an industry where change is the only constant.
Operational Agility Begins With Information Control
For operations and supply chain leaders navigating the semiconductor space, data governance has become a core operational concern, one that is increasingly inseparable from compliance, supplier management, and speed to market. The challenge isn’t simply technical; it’s structural.
As geopolitical and regulatory pressures mount, safeguarding IP and ensuring compliance are no longer isolated legal or IT issues. They are now embedded in the very mechanics of how products are developed and delivered. A more disciplined, system-level approach to engineering collaboration may well prove to be one of the more defining shifts in supply chain design in the years ahead.
