Researchers contained in the semiconductor fabrication lab on the Centre for Nano Science and Engineering, on the Indian Institute of Science, in Bangalore on June 30, 2018.
Manjunath Kiran | Afp | Getty Images
India has approved constructing three semiconductor plants with investments of greater than $15 billion because the country goals to develop into a significant chip hub.
“India already has deep capabilities in chip design. With these units, our country will develop capabilities in chip fabrication. Advanced packaging technologies will probably be indigenously developed in India,” based on a government statement on Thursday.
India has ambitions to develop into a significant chip hub on the lines of the U.S., Taiwan and South Korea, and has been courting foreign firms to establish operations within the country.
Tata Electronics will partner Taiwan’s Powerchip Semiconductor Manufacturing Corp to construct one in all the fabrication plants in Dholera, Gujarat, with an investment of nearly $11 billion (Rs.91,000 crore), based on the statement.
PSMC provides chip design and manufacturing services within the logic and memory segments. It has six semiconductor foundries in Taiwan.
The factory will give attention to the mature 28-nanometer technology, namely in industries reminiscent of automobiles, consumer electronics and defense. Mature technology refers to processes involved in making 28-nanometer or larger chips — generally considered legacy chips.
Tata Semiconductor Assembly and Test Pvt Ltd will arrange the second plant in Morigaon, Assam, with an investment of $3.26 billion (Rs.27,000 crore), to develop “indigenous advanced semiconductor packaging technologies including flip chip and integrated system in package technologies” for automotive, EVs and consumer electronics segments.
CG Power, in partnership with Japan’s Renesas Electronics Corporation and Thailand’s Stars Microelectronics will arrange the third factory in Sanand, Gujarat, specializing in chips for consumer, industrial, automotive and power applications. It can see an investment of nearly $1 billion (Rs 7,600 crore).
All three factories will start construction inside next 100 days.
India in June 2023 had approved Micron for establishing a semiconductor unit in Sanand, Gujarat.
“Inside a really short time, India Semiconductor Mission has achieved 4 big successes. With these units, the semiconductor ecosystem will get established in India,” the federal government said.
These factories will directly create 20,000 advanced technology jobs and about 60,000 indirect jobs.
Global chip manufacturers have been seeking to diversify operations amid geopolitical uncertainty, which stands to profit countries reminiscent of India.
Taiwan Semiconductor Manufacturing Company, the world’s largest contract chip maker, most recently opened a recent plant in Japan because the country is attempting to spice up its lagging chip-manufacturing industry.
