Individual companies, from SMEs to large organisations, research bodies and academic institutes in Europe, have had to face up to the realities brought about by the economic downturn and adapt their operation and practices to the prevailing market conditions. For some, survival has not been easy, with a number requiring intensive care, a transfusion of investment or professional counselling. For others, the prescribed remedy has been harsher, such as the transplantation into a larger, healthier organisation in order for the company to be properly supported and function better.


Of course, not all companies, academic institutions, agencies, etc., have found themselves in need of treatment. Most will have undergone a thorough examination of their working practices, financial stability, market potential, etc., however, and, to a certain extent, those that have survived this far have proved their well being and should be looking to the future.

Almost all will have learned lessons, either personally or through the experience and the fate of similar organisations such as partners, competitors, etc. Initially, the gut reaction for many was to err on the side of caution, be wary of risk taking and not raise their heads above the parapet. However, with the dust having settled, companies are realising that regardless of whether the market is smaller, larger or just the same, they have to compete and play to their strengths, whether that is price, service or innovation.

The RF and microwave industry is generally one of innovation and, as the 2010 European Microwave Week demonstrates, Europe has the expertise and ability to play a significant role in developing the technologies that are shaping the modern world, helping it to communicate and protect its national and international borders. The event is the obvious barometer for gauging the state of the industry, with the chairs of the four individual conferences best placed to identify key areas of activity and evaluate future trends. Therefore, in this report they offer an overview of their specific market sectors—RF & Microwaves, ICs & Semiconductors, Wireless Technologies and Radar.

First, in order to provide a context for their opinions, let us consider the political, commercial, technological and market conditions in which the European microwave industry is currently operating.

European Perspective
In 2009/2010 Europe has been grabbing the headlines in the wake of the economic downturn. The monetary bail-out that Greece received from the EU and the difficulties being experienced by Spain and Portugal have been the lead stories, but the economies of the majority, if not all, European countries have been seriously impacted. Many individual governments originally put stimulus packages in place to shore up industry, encourage training and support employment. Having steadied the ship to some degree, the reality is that austerity measures are being put in place to address financial deficits and stabilise national economies. Governments may be trying to sweeten the pill by maintaining that savings can be made through greater efficiency, less bureaucracy and improved productivity, but the reality is that there is less money in the coffers.

Any decrease in public spending will affect the RF and microwave industry, with the defence, security and aerospace sectors the obvious target areas for cutbacks, but any long-term project, be it the expansion of communication networks, investment in updating the technology that emergency services employ, etc., will come under close scrutiny. There is no doubt that companies will have to compete hard for contracts and any funding on offer.

Over recent years there has been general polarisation of the industry geographical, with Western Europe focused on high value products and the exploitation of a rich vein of research and development, while the emphasis in Eastern Europe has been on manufacturing, often aided by grants and tax incentives. However, due to the expansion of the European Union to 27 countries, with many of the newer participants being from Eastern Europe, such boundaries are becoming blurred as the EU's vision of a united Europe comes more sharply into focus.

A cornerstone of that vision is the Treaty of Lisbon, which came into force on 1 December 2009. It aims to provide the EU with modern institutions and optimised working methods to address issues prevalent in modern society, including globalisation, climatic and demographic changes, security and energy. The EU approach stresses the need for common strategies that promote European principles and long-term goals, and in the current economic climate structured frameworks for development are more vital than ever.

Figure 1 Three scenarios for Europe by 2020 (courtesy of European Commission).

A case in point is Europe 2020, which was launched in March 2010 and offers a vision of how the EU can become a smart, sustainable and inclusive economy delivering high levels of employment, productivity and social cohesion (see Figure 1). It puts forward three mutually reinforcing priorities: Smart Growth—developing an economy based on knowledge and innovation; Sustainable Growth—promoting a more resource efficient, greener and more competitive economy; and Inclusive Growth—fostering a high-employment economy delivering social and territorial cohesion.

Although it has a broad remit, Europe 2020 focuses significantly on the development of industry and academia, emphasising the importance of investing in high-risk research, including multi-disciplinary fundamental research, and the coordination and pooling of resources between Member States and industry. Its stated targets include: 'Innovation Union' to improve framework conditions and access to finance for research and innovation so as to ensure that innovative ideas can be turned into products and services that create growth and jobs; 'A Digital Agenda for Europe' to speed up the roll-out of high-speed Internet and reap the benefits of a digital single market for households and firms; and 'An Industrial Policy for the Globalisation Era' to improve the business environment, notably for SMEs, and to support the development of a strong and sustainable industrial base able to compete globally.

Financially, the Europe 2020 strategy reiterates the goal of raising European research and development spending to 3 percent of gross domestic product (GDP) from its current level of below 2 percent.

Also, this year the European Commission adopted two major initiatives to initiate changes to the financial regulations and simplify the procedures with regard to the EU's research Framework Programmes. As well as making it easier for researchers to gain access to EU funds, the new rules are aimed at facilitating more public and private funding and enable new EU programmes to get up and running.

In particular, these initiatives will help to further strengthen the Seventh Framework Programme (FP7), which since its inception in 2007 has been a key driver in commercialising the results of research and identifying the potential of new technology. The RF and microwave industry has been a significant beneficiary of its efforts and continues to be so, with current initiatives including:

  • GIGARADIO – Radio technologies for short-range gigabit wireless
  • SATURNE – Microsystems based on wide band gap materials for future space transmitting ultra-wideband receiving systems
  • MITEPHO – MIcrowave and TErahertz PHOtonics
  • WIMAGIC – Worldwide interoperability microwave broadband access system for next generation wireless communications
  • FLEXWIN – Flexible microsystem technology for micro and millimetre-wave antenna arrays with intelligent pixels
  • GRAPHENERF – Graphene-based radio frequency electronics
  • NEMSMART – Development of high-performance and high-reliability NEMS switches for smart antenna structures
  • PAR4CR – Partnership for the development of cognitive radio
  • DARWIN – Deep mm-wave RF-CMOS integrated circuits.

FP7 is key to the European Research Area (ERA), is a conduit for all research-related EU initiatives and plays a vital role in reaching the goals of growth, competitiveness and employment; along with the Competitiveness and Innovation Framework Programme (CIP) that began in 2007 and extends to 2013, Education and Training programmes, and Structural and Cohesion Funds for regional convergence and competitiveness.

Figure 2 Total ICT R&D spending in billion € (2007) (courtesy of European Commission).

As was referred to previously, a new initiative is the 'Digital Agenda for Europe', which the European Commission launched in May and is one of the seven flagship initiatives under the Europe 2020 strategy. Importantly, the agenda focuses on achieving greater investment in research and development and the use of information and communication technology (ICT) to address challenges facing society. Under the Seventh Framework Programme, a total of €9.1 B has been earmarked for funding ICT research (relative to total ICT R&D spending; see Figure 2).

The EU also supports the international Cooperation in Science and Technology (COST) programme, which was set up to expand and coordinate nationally funded research on a European level. It is a collaboration of a total of 36 countries, including EU Member States, eight Associated Countries (Bosnia and Herzegovina, Croatia, the Former Yugoslav Republic of Macedonia, Iceland, Norway, Switzerland, Serbia and Turkey) and one cooperating state (Israel). Currently, close to 300 projects in nine key domains including materials, physical and nanosciences; Earth system science and environmental management; and information and communication technologies are being carried out with support from COST.

Looking forward, the European Union's Research and Innovation Strategy, which, at the time of going to press, is scheduled to be published by September 2010, will focus on the major societal challenges, have a broad definition of 'innovation' and seek to remove bottlenecks to the flow of knowledge.

However, the future of the European RF and microwave industry is not just dependant on technological and economic development, but also lies in its ability to engage, encourage, stimulate and support potential young designers and engineers that are vital for the industry to evolve technologies that will be the commercial future.

The RF and microwave industry is highly knowledge intensive, which has grown and profited through nurturing and investing in an educated and skilled workforce over the years. It is multidisciplinary, requiring understanding on a number of levels and demands a strong commitment to learning. The challenges the industry faces is to persuade the young, who are faced with a multitude of options, that RF and microwave design and engineering can be a rewarding and an exciting career choice. Such rhetoric has to be backed up by a structured path to learning at least up to PhD level that is recognised across Europe, which continues via formal routes for developing and maintaining research and production activity between universities and research centres and industry.

The Lisbon Strategy states that the 'knowledge triangle'—research, education and innovation—is a core factor in European efforts to meet its goals and lies at the EU's aim to become the "most dynamic competitive knowledge-based economy in the world".

Sector Overviews
Against this background, how is the European microwave industry faring? Which fields are seeing particular activity and growth? The most likely place to find answers to these questions is the 2010 European Microwave Week in Paris, so this report has enlisted the chairs of the four EuMW conferences to offer overviews of their sector of the market.

RF & Microwaves
Sector overview by Danielle Vanhoenacker-Janvier, EuMC 2010 Conference Chair
Radio and microwave technologies are widely used in mass market applications such as wireless and optical networks, radio and television broadcasting, mobile communications and global positioning systems (GPS). Additionally, these technologies are employed for a wide range of applications, including RF identification and sensors, ultra-wideband communication systems, healthcare systems, intelligent transport and car safety systems, earth observation, security and defence. European industries are particularly strong in mobile and satellite communications and radar.

Wireless portable devices are driven by cost down road-mapping with a high level of integration using standard foundry technologies, while microwave professional and niche markets are driven by performance with specific technology features. The size of the global microwave semiconductor market is close to $4 B and is growing by seven percent a year. High volume production is moving away from Europe, but European companies have a long tradition for developing new added-value systems and applications, in collaboration with research centres and academia. Future trends will be in integration of wireless devices and systems (System-On-Chip) and performance breakthroughs in professional markets, which will result in technology and product architecture innovations. This is particularly true for the base station sector where energy management and power consumption reduction is a strong driver.

Upscale cars already incorporate technology driven safety features, but soon all cars will be equipped with basic safety equipment such as radar. The market volume is still low, but will increase rapidly, assuming the challenge of European standards (for road radar and vehicle-to-roadside communication) is solved. Microwave electronic tolling systems are already in use, which speeds up goods transportation; these new applications will continue to have an impact on the automotive industry.

Also, robust and secure communication systems are necessary for the deployment of rescue forces to tackle natural or man-made disasters. Radio and microwaves are essential for these purposes because they can provide communications, direction finding and sensing. In the field of transport security, the recent development of THz imaging systems increases the capacity of concealed weapon detection and security scanning systems.

Significantly, it is not just the development of technology that we should be concerned about, but also the progression of the engineers and designers who will develop it. As a university lecturer, I am eager to attract young people to pursue careers in the field of microwave engineering. In recent years there has been a marked lack of interest in microwave electronic studies in various European countries, even though industries are opening up positions in the field. There is no doubt that if the foreseen shortfall in microwave engineers in the near future becomes a reality, it will impair the further development of the European microwave industry.

On the other hand, Europe is aware of the importance of being ahead of the developments in microwave and millimetre-wave technologies. Interest groups like EuRaMIG and associations like EuMA are bringing together people from industry, research centres and academia for further development, and close contact is being maintained with the US and Asian countries in order to develop new collaborations.

ICs & Semiconductors
Sector overview by Frédéric Aniel, EuMIC 2010 Chairman
[In collaboration with M. Laboureau (President of UMS SAS France), M. Leclerc (UMS SAS) and H. Maher (OMMIC)]

Telecommunication, defence, automotive, space and imaging systems require RF and microwave ICs using different processes, with semiconductor devices and ICs forming the core of today's microwave and mm-wave systems. European microwave companies and research centres produce, develop and are involved in research that covers a broad range of technologies, which play an increasingly significant role in everyday life and open up new opportunities for economic development. Nowadays, applications have spread to a multitude of technological fields: mobile communications, new digital televisions, next generation radar systems, radiolocation devices and extremely high frequency systems that extend to the THz region.

With regards to the marketplace itself, the III-V semiconductor industry is still suffering from the 2008/2009 financial crisis, although the consequences were not as catastrophic as those of the telecom crisis of 2000/2001. This is due, to some extent, to the technological evolution and innovation the III-V European industries are undertaking (e.g., Fablight) and also because the defence market was partially spared.

Against this background, in this brief overview of the IC/Semiconductors sector, I would like to identify, from the European point of view, the present and future trends, stressing how the technology is evolving and where the greatest impact is likely to be.

Silicon technologies are steadily improving their operating frequency and their level of integration, as is illustrated by RF automotive electronics where Si-based technologies are without rival, except for anti-collision equipment. Also, Si-based processes combine low cost and ease of on-chip integration of RF or AMS circuits and digital functions.

Gallium Arsenide technology continues to be the driving force in many of the RF/HF industries, ranging from telecommunications to defence. GaAs can still compete with other technologies and remains the benchmark in terms of performance.

Gallium Nitride technologies are able to provide very high RF power density over a wide frequency range at excellent power added efficiency (PAE) and also exhibit high values of breakdown voltage under high temperatures. For example, GaN HEMT could surpass LDMOS technology with regards to base station power amplifiers. There is currently dynamic academic research and industrial development in the GaN devices sector. For instance, in the second half of 2010, UMS SAS will be introducing lumped 0.5 µm GaN technology.

Other issues include the advancement of plasmonics for QCL in the THz range. HF semiconductor device technologies could play a major role in the near future in the development of the THz sector, providing tuneable sources and detectors under moderate bias conditions at low cost, thus narrowing the gap between the microwave and optics domains.

The microwave photonics interdisciplinary area continues to be a dynamic topic giving rise to increasing research efforts, as does the development of wafer-scale graphene RF electronics, with grapheme and CNT seeing a significant amount of research activity. The development of millimetre-wave and submillimetre-wave devices and circuits from SiGe to III-V compounds is continuing to progress. Furthermore, III-V integration on Si and III-V isolated gate FETs are among the leading themes driving research in Europe.

Also, the need to reduce the cost of module manufacture, which is extremely high, is provoking continued demand on the packaging of MMICs using SMD technology for frequencies up to 40 GHz and beyond. In the 30 to 60 GHz frequency range, the enhanced plastic QFN has proved to be very useful and efficient, while beyond 60 GHz, EM coupled plastic packages and wafer level packaging techniques are helping to reduce costs.

Finally, I would like to stress that advanced simulation and modelling is a key factor in achieving RF and HF circuits and systems. Thermal modelling appears to be a key issue for high power devices such as GaN HEMT and especially for ultra short gatelength transistors. New models have to be developed to simulate accurately the thermal behaviour of such devices.

Wireless Technologies
Sector overview by Genevi've Baudoin, EuWiT 2010 Conference Chair
Since the success of GSM, wireless communication has been one of Europe's most active technological sectors. Over the last 10 years, the worldwide growth of the mobile industry has exceeded all the predictions with more than 4.6 billion mobile phone subscribers in the world today.

We have moved from cellular phones dedicated to talk to 'smart' phones or communicating devices integrating different types of short-range wireless connectivity (Bluetooth, WiFi, NFC), mobile TV and radio receivers, GPS receiver, multimedia sensors, various other sensors such as accelerometers, with sufficient computing power to support all the features of a personal digital assistant and technologies such as speech recognition, and 3G broadband wireless connection allowing for mobile internet and, of course, telephony.

In the past two or three years, we have seen the actual penetration of mobile broadband (3G and soon 4G) connections enabling mobile Internet access and generating new mobile services and applications such as social networks or augmented reality. These applications necessitate outdoor on the move broadband links and indoor ultra-broadband connections to support future 3D television programmes, for example.

Wireless technology is also diffusing into new areas such as transport, environmental monitoring, healthcare, e-inclusion, machine-to-machine communication (M2M) with the 'Internet of things' and the management of emergency situations. Most of the new applications rely on wireless communications associated with location technology and information providers. In the field of transport, the on-going normalization work on transport information—e.g., Service Interface for Real time Information (SIRI)—facilitates the development of multimodal information servers and traveller information applications on mobile devices.

Such evolution creates new challenges for research and innovation that cover the four main fields of the EuWiT conference: applications and standards, systems and signal processing, antennas and propagation, and key architectures and sub-systems for base stations and terminals.

For applications and standards, we can cite millimetre-wave mobile communications with low power consumption, autonomous communicating sensor networks and Body Area Networks. With regards to systems and signal processing the main trends are flexible and spectrum-aware radio access, cognitive radio and cooperative systems, and green energy aware wireless systems.

In the field of antennas and propagation, hot topics include the design of small antennas for personal communications devices in which many services in different frequency bands have to coexist, compact MIMO arrays, antenna and sheet-like waveguide for wearable and body-centric applications, electromagnetic modelling of complex environments such as the human body and modelling of non-stationary channels for vehicular communications.

MIMO and OFDM techniques have emerged as enabling technologies for 4G communication systems. They have also generated new challenges in terms of transmitter architectures with good efficiency and linearity, and in terms of integration of MIMO transceivers in mobile terminals. For base stations, a good compromise has been reached with Doherty power amplifiers using digital predistortion and GaN technology.

For mobile terminals, the evolution of wireless systems involves the introduction of more intelligence and dynamic reconfigurability in the transceiver in order to obtain more efficient spectral resource management and better transmission quality with low energy consumption. To take advantage of digital CMOS technology, RF analogue blocks are migrating to the digital domain (frequency synthesis, digital mixing and amplification, for example) and digital signal processing is used for RF Impairment Correction and Built In Self Test (BIST).

Finally, the European Commission is playing a major role in the definition of the strategic research agenda, and supported in the Sixth Framework Programme (FP6) work on 'systems beyond 3G', which led to the design of LTE technology. The first commercial products and services using LTE technology have just begun in Europe. Within the FP7 future networks research programme, the EC has already funded many projects organized into three clusters: Converged and Optical Networks, Radio Access and Spectrum, and Future Internet Technologies. The European Network of Excellence in Wireless Communications (NEWCOM++) gathers researchers from 17 major European institutions working on the Network of the Future, mainly on 'Ubiquitous network infrastructure and architectures.'

One of the biggest projects launched by the ICT Call 4 is ARTIST 4G, which intends to offer ubiquitous user experience in cellular mobile systems through innovations related to interference management and new relay concepts.

Radar
Overview of European radar activities by Philippe Eudeline, EuRAD 2010, Conference Chairman
The 7th European Radar Conference (EuRAD 2010) reflects the continued activity and attraction of the radar sector in Europe and worldwide. With regards to specific needs, the European radar industry is developing new equipment and systems that are capable of addressing new threats, either for military applications such as Tactical Ballistic Missiles (TBM), piracy and illegal fishing or civil applications like the detection of birds, the wind farm environment and wake vortex detection.

In particular, these new requirements have a huge impact on the development of: radar architecture to accommodate new functionalities and improved performance; active array antennas with very high power T/R modules to withstand range requirements; and dedicated algorithms to detect very small targets (birds) or avoid clutter on wind farms.

All these developments have to be carried out in the face of intense competition from US radar companies. To enhance their position, connections between the European radar industry and European universities are being forged to enable them to work closely together to jointly develop future advanced radar capabilities and also increase the involvement of European SMEs, with the aim of achieving cost targets.

Antenna scattering and measurements, radar signal processing and system simulation, radar architecture and systems are all key considerations. They are being developed for civil applications such as air traffic control (see Figure 3), meteorological, wake vortex detection and coastal radar as well as military applications such as airborne, weapon systems, air defence, passive radars, environmental remote sensing applications, space-time adaptive processing, through-the-wall radar imaging, ultra-wideband radar, multilateration, new radar waveforms, including those with communication capabilities, sky-wave and ground-wave Over-the-Horizon (OTH) radar, Active Electronically Scanned Arrays (AESA) and Multifunction Phased Array Radar (MPAR).

Although the interest in coastal radar has been prompted, in some countries, by increased incidents of piracy, there are also issues such as sea clutter and environmental issues that are being addressed concurrently. Other innovations to be aware of are in the fields of MIMO and networked radar, automotive radar sensors in the millimetre frequency range, CAD tools and advanced techniques for radar and telecom systems design, waveform-agile radars, etc.

Conclusion
The sector overviews demonstrate the depth and scope of the current technological activity in the European RF and microwave industry. The industry has a vital role to play in helping to shape modern life, be it the ever expanding world of communications, the maintenance of a greener more efficient environment or the defence and security of individuals and nations.

This European perspective outlined the collective measures that the European Union and European Commission have put in place to ensure that these activities are encouraged, supported and sustained by providing the political, financial and technological framework necessary for SMEs, large companies, academia and research institutes to each fulfil their critical roles in the value chain.

Indeed, new programmes such as the Europe 2020 strategy, the EU's Research and Innovation Strategy, and the Digital Agenda for Europe have been initiated to provide the structure, funding and incentives that will enable companies and institutions to forge the necessary partnerships and alliances that will stimulate the development of technology. It is encouraging that these initiatives, along with the necessary funding, both public and private, are being put in place at a time when they are needed most. The Seventh Framework Programme, in particular, has laid the foundations for commercialising the results of research and realising the potential of new technology, with significant and ground-breaking projects in the RF and microwave sector initiated.

The focus of this report has been on the European RF and microwave industry—political and financial influences, the infrastructure that supports it, and the main fields of activity and development. Of course, most European companies, research institutes, etc., operate on the global stage, with many being part of, or partnered with, international organisations. The global market offers significant challenges as some traditional markets have been squeezed, while the competition to gain commercial advantage in emerging 'new technology' markets is fierce, with Asian companies in particular making their presence felt.

It is imperative that Europe maintains a strong industrial base in order to compete globally. In the current environment, that means taking advantage of the collective strengths of the European Union and the routes to development that have been put in place and for companies/organisations to play to their individual strengths such as R&D, service or innovation.

One weakness is the number of young microwave engineers being recruited. If the shortfall that has been predicted materialises, it will have a significantly detrimental effect on the further development of the European microwave industry. Academia and industry have both made efforts to accommodate student/trainees, but perhaps it is not enough simply to make academic places and work positions available. Young people need to be attracted to our industry and maybe more needs to be made of the fact that our field of expertise facilitates access to social networks, games, movies, helping the planet and maintaining Homeland Security.

The title of this report asked if the European microwave industry was on the road to recovery? No one would claim that there has been anywhere near a full recovery from the ills that have been suffered over the past few years. However, the technological activity highlighted in this report demonstrates that the lifeblood of our industryóinvention and innovationóis still flowing strongly.