Secure and Trusted Data Exchange in the Semiconductor Ecosystem

Secure and Trusted Data Exchange in the Semiconductor Ecosystem

 

29. Januar 2025

One of the undisputed learnings of the recent chip market turmoil is, that to soften the blow for the inevitable next crisis, participants in the semiconductor value chain have to bring intercompany collaboration to a new level. However, the trust barrier amongst semiconductor manufacturers and suppliers is high, and security concerns are paramount.

SC4EU is actively innovating tools and processes to mitigate the adverse effects of the next disruption in the chip market.

SAP is working on one crucial piece of the puzzle - allowing semiconductor companies, their customers, suppliers, and partners to securely exchange data without relying on a central data lake, making it a cornerstone for secure, decentralized collaboration in the industry.

What is Decentralized Identity Verification (DIV)?

Decentralized Identity Verification (DIV) is a company identity solution based on the principles of self-sovereign identity (SSI). This approach ensures that each participant in a dataspace control and manages their own digital identity, significantly reducing dependency on a central authority for authentication and authorization. In the context of Catena-X, DIV serves as the backbone for identifying participants in the dataspace, enabling trusted interactions and data exchanges across the supply chain.

DIV utilizes open W3C standards like Decentralized ID (DID) and Verifiable Credentials, providing a robust and interoperable framework for digital identity and credential management. These standards ensure secure, privacy-preserving, and user-controlled identity verification.

DIV has been engineered to meet the stringent requirements of the semiconductor value chain sector, where sensitive data must be shared across multiple parties with highest levels of trust and access rights. Unlike traditional systems that depend on centralized data lakes, DIV leverages decentralized technologies to ensure that data remains under the control of its owners at all times. This makes it particularly suitable for complex industrial environments, where trust and security are paramount.

DIV's Role in SC4EU

SC4EU aims to create seamless data sharing across the semiconductor ecosystem. As a member of this consortium, each participant needs to have a secure and trusted identity to participate in the dataspace. DIV addresses this by ensuring that all members are properly identified before they can access or share data. by offering:

  • Self-sovereign identity management: Participants control their own identities and data, granting access according to their own company policies without the need for a centralized authority.
  • Decentralized trust architecture: Trust is built organically within the network, ensuring that participants can interact securely and exchange data with confidence.
  • Interoperability: DIV is designed to integrate with other dataspaces, making it highly adaptable as manufacturing ecosystems evolve.

The network of networks - DIV bridges dataspaces

The development of DIV began three years ago as a fundamental component of the Catena-X initiative, with a focus on enabling secure and trusted data exchange across the automotive supply chain. The project was driven by the need for an industry-wide solution to handle data sharing and identity verification at scale, without compromising privacy or security. It did not take long before other industries, Semiconductor companies are among the very first to also form industry business networks like SC4EU or Semiconductor-X to enable and strengthen intercompany collaboration. Since major initiatives like Catena-X and other Manufacturing-X projects are also driving the use this technology will play a major role in powering secure and trusted data exchange in cross industry dataspaces.

The potential for DIV and similar identification systems is expansive. As our world becomes increasingly digital and connected, the need for secure, verifiable, and efficient data sharing will only grow.

Conclusion 

Self-sovereign Identity represents a significant step forward in the evolution of secure, decentralized data sharing in the manufacturing sector. SSI eliminates the need for centralized intermediaries, fostering a more secure, transparent, and collaborative environment. SSI moves the industry closer to a future where trust, security, and data sovereignty are paramount and has the potential to shape the future of decentralized identities across multiple industries.