Semiconductor companies can keep pace with Moore’s Law. The question is whether they should. Semiconductor companies have achieved profitable growth by doubling the number of transistors on integrated circuits every two years. Today, costs associated with creating ultra-dense transistors are rising exponentially. At the same time, sales prices are flat—or declining. In this high-cost/low-return environment, it’s harder for semiconductor companies to justify using Moore’s Law as a tool for sustained competitiveness. Winners will no longer pursue innovations simply because they can. They will pursue opportunities that are clearly aligned to a viable business strategy, as well as their growth and profitability objectives.