How Sustainable Helium Can Help Future-Proof the Semiconductor Industry

Semiconductor manufacturing processes require many chemicals and specialty gases. Owing to its cryogenic properties, exceptional thermal conductivity, chemical inertness, and high diffusivity, helium is used throughout the semiconductor manufacturing line, particularly for wafer cooling where there are no viable alternatives. Given the US Chips Act, EU Chips Act, and several other government initiatives worldwide to boost the semiconductor industry, IDTechEx predicts the helium demand for semiconductor manufacturing will increase five-fold by 2035. However, questions remain on how this will impact the sustainability of the semiconductor manufacturing industry because helium is a finite resource. Developments and advances will impact many vehicles and how they're developed as sustainability and energy efficiency continue to be major priorities. This is being balanced against how cost-effective it can be.

IDTechEx forecasts helium demand for semiconductor manufacturing to grow over five-fold by 2035.Courtesy: IDTechEx

Advancing smaller nodes requires more helium

Among gases, helium's exceptionally high thermal conductivity combined with its chemically inert nature is second to none. It allows the fast cooling of chips during the manufacturing process. Furthermore, with semiconductor technologies advancing toward smaller nodes, the need for effective thermal management during manufacturing processes is increasing the reliance on helium for semiconductor miniaturization. Demand from AI, quantum computing, telecoms, sensors, electric vehicles, and automation in the automotive industry are all projected to be significant drivers for growth in semiconductor manufacturing and helium use.

Navigating chronic helium supply shortages 

Over the last 20 years, the helium market has been subject to chronic supply challenges and price volatility resulting from geopolitical tensions, unexpected plant outages, and maintenance downtimes of helium production and processing plants. Furthermore, the difficulty in storing helium over prolonged periods means that semiconductor manufacturers have resorted to reducing their production rate to manage helium use during periods of helium shortage. Although helium production capacity is anticipated to increase with Qatar and Russia expected to ramp up production, it does not necessarily guarantee a disruption-free helium supply moving forward when considering geopolitical tensions in regions where helium is largely produced. Additionally, according to the United States Geological Survey, the current estimate for total global helium resources is ~40 billion cubic meters. Considering the average annual production rate (2017-2023), approximately ~250 years of helium is available in reserves. With the increased demand, this supply could run out much sooner, which means sustainable management should be a key consideration for industries that rely on helium.

Helium recycling trends in other industries can make semiconductor manufacturing viable

With helium being a finite resource and critical for several applications, including semiconductor and fiber optic manufacturing, leak testing of lithium-ion batteries and aerospace components, cryogenic applications, and many more, helium conservation and management will need to play an increasingly important role in manufacturing industries. 

While the deployment of industrial reclamation for specialty gases is currently negligible, with constraints on the supply of specific gases and increasing prices (e.g., neon, helium, etc.), the capital cost of adopting reclamation systems may become more feasible and increasingly feature in new semiconductor fabs.

Although expansions of helium production capacity may help ease some of the supply challenges associated with the helium market, geopolitical tensions in regions where helium is largely produced still leave questions unanswered regarding the future of supply security. 

To meet the growing demand, the semiconductor industry will not only need a stable supply of helium, but also will need to invest in helium recycling and reclamation technologies to conserve helium and future-proof the sustainable growth of the industry.