Stories
India's Semiconductor Ambition: Experts Reveal Path to Global Hub Status
- •India is moving from semiconductor announcements to production, with five units now commercially active and global companies expanding their presence.
- •Key challenges include developing specialized talent beyond chip design for process engineering, manufacturing operations, and yield management.
- •Building a robust supply chain around fabs is crucial, requiring domestic capabilities in equipment, specialty chemicals, gases, and packaging.
- •India needs to advance its technology chain, moving from mature processes to advanced nodes and packaging, strengthening R&D and IP development.
- •Sustained policy support, reliable infrastructure, access to technology, and a competitive manufacturing ecosystem are vital for long-term success.
Key Questions Answered
Industry experts note that while India has strong chip design capabilities, the main challenges include building specialized talent in process engineering and yield management, developing a robust domestic supply chain for equipment, gases, and chemicals, and moving towards advanced technologies and packaging.
Five semiconductor units are already in commercial production, including facilities linked to Micron, Kaynes Technology, and CG Power. Additionally, major global firms like Applied Materials, Lam Research, and ASML are expanding their manufacturing and research presence in the country.
The government approved Semicon 2.0 with an outlay of about ₹1.27 lakh crore to support semiconductor design, manufacturing equipment, materials, fabs, advanced packaging, research and development, and talent development. The program aims to attract investment proposals worth around $12 billion and transition the country toward commercially scaled manufacturing.
