Europe is well positioned to compete with the United States and Asia in robotics and physical artificial intelligence (AI), according to the chief executives of three leading European semiconductor companies.
The executives of Infineon, STMicroelectronics and NXP said Europe could build on its established strengths in automotive and industrial technology as AI increasingly moves beyond data centres into robots, vehicles and industrial machinery.
The shift towards physical AI is expected to increase demand for specialised semiconductor components, including power chips, sensors and microcontrollers that enable machines to interact safely and reliably with the physical world.
Infineon CEO Jochen Hanebeck described industrial and physical AI as a major opportunity Europe must pursue, arguing that the region has considerable technological capabilities to compete in the emerging market.
STMicroelectronics CEO Jean-Marc Chery highlighted the importance of collaboration between semiconductor manufacturers and their customers. He said robots could be trained in AI-simulated environments before being deployed in real-world operations.
The company has also agreed to introduce humanoid robots developed by Italian robotics firm Oversonic into its factories. The first robot has already been installed at a semiconductor facility in Malta.
However, widespread adoption remains at an early stage, with many industrial robotics projects still undergoing testing and factory trials.
Meanwhile, NXP CEO Rafael Sotomayor emphasised Europe’s experience in developing reliable technologies, particularly as AI systems begin making decisions that directly affect the physical environment.
He noted that safety would become increasingly important as intelligent machines take on more complex tasks, where mistakes could have serious and irreversible consequences.
The comments reflect growing interest in physical AI as manufacturers explore how artificial intelligence can be integrated into industrial operations, transportation and robotics.
For Europe, its existing semiconductor, automotive and industrial technology industries could provide a foundation for stronger participation in the next phase of AI development.
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