Transforming Industries with Advanced Materials and Power Electronics

Discussion with Achilles Chiotis, PhD

Today, the pace of technological change makes innovation a fundamental requirement for business survival, profitable growth and leadership. Achilles Chiotis, PhD, with over 35 years in leadership positions in global materials science, circuit protection, advanced electronic components and power electronics, has seen firsthand how companies rise—or fall—based on their ability to innovate and protect their technological edge. Having served in leadership roles across Europe and the United States, and now an advisor, angel investor, and founder of his own consultancy, Achilles offers invaluable insights into how businesses can move from laboratory breakthroughs to real-world impact. In this article, he explores the pillars of building innovation-driven companies, the material revolutions reshaping industries, how wide-bandgap semiconductors are redefining efficiency, the strategic use of intellectual property, and resilience strategies for navigating global volatility.

How Innovation-Driven Cultures Build Sustainable Competitive Advantage

Innovation thrives when it becomes a mindset shared across the company—not just confined to R&D teams. For companies hoping to bring advanced materials to market, the presence—or absence—of a culture committed to innovation often determines whether a product ever reaches customers.

According to Achilles, leadership commitment must be unwavering: "If there is no commitment from the upper management or if you don't have the right talent, you're late to the market—or you don't get there at all". True innovation requires executives to embed it into the company's vision and operations, rather than treating it as a side initiative.

Motivating engineering, sales, and marketing teams is equally critical. Achilles stresses that recognition systems—ranging from bonuses to intellectual prestige through patents—create an environment where people are willing to take smart risks. Without such encouragement, even groundbreaking technical work may never find its way into the hands of customers. Organizations that reward not just success but effort and learning from failure build resilience into their innovation pipelines, giving them an edge over slower, more cautious competitors.

Why Material Science Is at the Heart of a Global Industrial Transformation

Electrification isn't just gaining ground; it's fundamentally reshaping industries, opening up new frontiers for innovation across the global economy. Achilles emphasizes that this shift is inevitable because electrification makes both economic and technical sense, independent of political leadership.

Materials science sits at the center of this change. Innovations in silicon carbide (SiC) and gallium nitride (GaN) are enabling smaller, faster, and more efficient devices that were simply not possible with traditional silicon. "Silicon has done a fantastic job", Achilles explains, "but when it comes to efficiency and power conversion, silicon is not the best technology anymore". The transition to these newer materials is not a matter of if, but when, and companies that embrace them early will lead the next industrial wave.

In addition to semiconductors, advances in passive components like inductors and transformers are redefining what systems can achieve. New magnetic materials and better manufacturing processes are unlocking higher efficiencies and better sustainability metrics. The future of electrification isn't just about swapping batteries—it demands a total rethink of how every electronic system is designed, manufactured, and deployed.

Wide-Bandgap Semiconductors: Powering the Next Wave of Efficiency, Performance, and Miniaturization

The adoption of wide-bandgap materials is redefining the metrics of success in power conversion. Traditional silicon-based modules are being outclassed by SiC and GaN alternatives in critical performance metrics: size, weight, efficiency, and heat management.

Achilles points to EVs as the clearest example: "Switching from silicon to silicon carbide can cut the volume and weight significantly, while boosting power efficiency at the same time". This not only extends driving range but also reduces battery size, system weight, and overall production costs—essential levers in the race for EV profitability.

Beyond automotive, wide-bandgap semiconductors are finding homes in industrial automation, aerospace, and even medical devices, where efficiency and miniaturization are paramount. Systems once constrained by silicon limitations are now being reimagined. Early adopters are already setting new industry standards, making it increasingly difficult for laggards to catch up as the technology matures.

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Building Market Leadership and Long-Term Value Through Strategic Protection

For innovation-led companies, protecting intellectual property (IP) is both a defensive and offensive strategy. Achilles highlights that securing patents and IP rights is crucial not just for protecting inventions, but for shaping competitive landscapes.

"My experience at Raychem Corporation showed that profits and market share tend to be the best when you have a strong proprietary position", Achilles notes. Owning critical IP allows companies to license technology, negotiate from a position of strength, and deter competition without costly price wars.

However, Achilles warns that patents alone are not enough. Companies must build global portfolios and address customer concerns about supplier exclusivity. "Customers sometimes feel uneasy buying a product only one company can supply", he says. Offering licensed production or second-source options while maintaining core IP control is key to balancing market dominance with customer trust. IP protection is most powerful when paired with strategic flexibility, not rigid exclusivity.

Cracking Global Markets: The Strategic Imperative of Localized Support, Channel Development, and Adaptation

Creating a breakthrough product is only part of the challenge—ensuring it reaches and resonates across different markets is just as critical.
Achilles points out that global expansion isn't just about shipping products abroad; it's about building localized ecosystems of engineering, marketing, and sales.

"Without local presence in Asia-Pacific, North America, and Europe, you cannot penetrate global markets effectively", he says. Technical teams must be available in-region to support customers' specific application needs, troubleshoot issues quickly, and build the trust that only comes with proximity.

Moreover, distribution and channel strategy must adapt to local buying behaviors and regulatory environments. Partnerships with experienced local players—distributors, agents, integrators—can accelerate adoption far more effectively than direct sales alone. Companies that treat each region as a distinct market, not just an extension of headquarters strategy, are the ones who scale successfully.

How Regionalized Production Shields Companies from Global Instability

Global instability—tariffs, supply chain shocks, economic slowdowns—has revealed the strategic necessity of diversified manufacturing footprints.
Achilles advocates a decentralized production model: one that places manufacturing capacity within each major consumption market.

"When you produce close to the customer, you reduce shipping costs, avoid tariffs, and increase responsiveness", he explains. For example, manufacturing heavy electronic components in Mexico rather than China allowed his company to dramatically cut costs and delivery times for North American clients, while sidestepping unpredictable trade barriers.

Achilles highlights a key point: "Tariffs may come and go, but your presence in critical markets is permanent". Building production close to customers not only insulates companies from temporary policy changes but ensures consistent service levels and long-term competitiveness.

This regional strategy isn't just about efficiency; it's about building resilience into operations. Local production protects companies from political risk, transportation disruptions, and sudden policy shifts—elements that are increasingly shaping business outcomes globally. Companies that rethink global supply chains through a resilience lens are positioning themselves for long-term competitiveness, not just short-term cost savings.

Executive Takeaways: Embedding Innovation and Resilience as Core Growth Drivers

Achilles closes with three enduring lessons for executives who seek to future-proof their companies:

• Embed a culture of innovation, ensuring that risk-taking, experimentation, and creativity are consistently encouraged across all departments—not just R&D. True innovation requires an environment where failure is seen as a stepping stone to success, rather than a setback.
• Prioritize intellectual property protection to transform technical leadership into defensible market leadership. Companies that actively protect and strategically leverage their innovations not only deter competition but create new revenue streams and negotiation advantages.
• Invest in regionalized operations and customer proximity, viewing resilience not as an emergency fallback, but as a proactive strategy for growth. Building production and support infrastructures near key markets helps companies navigate tariffs, shipping disruptions, and political uncertainties with agility.

Innovation plus resilience is the formula for sustainable, profitable growth. By prioritizing innovation, protecting intellectual assets, and staying close to key markets, companies can weather short-term disruptions and position themselves for long-term success.

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