Bharat is making ambitious moves to become a global leader in the semiconductor industry by fostering foreign investments and setting up fabrication plants, assembly units and advanced testing facilities. With the India Semiconductor Mission (ISM) leading the charge, the nation aims to significantly reduce its dependency on imports and position itself as a key player in the global semiconductor supply chain. The following sections highlight major developments that showcase Bharat’s progress in this critical industry.
Strategic Collaborations and Foreign Investments $10 Billion Tower Semiconductor and Adani Group Fab Project Overview: A joint proposal between Tower Semiconductor and Adani Group is under review to establish a semiconductor fabrication unit in Panvel, Mumbai. This proposal is a significant part of the Bharat Semiconductor Mission (ISM).
Significance: The collaboration represents Bharat’s aspirations to build high-end semiconductor fabs that will enable the country to reduce reliance on imports and strengthen its domestic production capabilities.
Larsen & Toubro’s Fabless Chip Initiative
Investment: L&T has committed $300 million to develop a fabless chip company in Bharat.
Goal: The company aims to design 15 chip products by 2027, which will provide Bharat with a stronger foothold in chip design and innovation.
Tata Electronics and Tokyo Electron MoU
Investment: Rs 910 billion in Gujarat and Rs 270 billion in Assam.
Objective: This MoU secures critical equipment for Tata’s semiconductor production capabilities, further boosting Bharat’s chip manufacturing infrastructure. Government and International Partnerships
US Collaboration Under the CHIPS Act
Initiative: In collaboration with Bharat’s Semiconductor Mission, the U.S. is working to assess and enhance Bharat’s semiconductor infrastructure under the CHIPS Act of 2022.
Importance: This partnership will facilitate technology transfers, expertise sharing, and joint efforts to strengthen Bharat’s semiconductor ecosystem.
Agreements with Singapore
Focus: During Prime Minister Narendra Modi’s visit to Singapore, several agreements were signed to establish semiconductor clusters and talent development in the fields of design and manufacturing.
Impact: These collaborations will help build a skilled workforce and integrate Bharat into the global supply chain for semiconductors.
Key Investments in Semiconductor Facilities
Sanctioned Semiconductor Units in Bharat: The Indian Government has sanctioned four semiconductor units, attracting an investment of Rs 1.5 trillion (US$18.15 billion).
Output: These units are projected to produce 70 million chips per day, marking a massive boost in local chip production capacity.
Kaynes Semicon’s Facility in Sanand
Production Capacity: The Sanand facility will produce six million chips per day catering to industries such as automotive and mobile devices.
Significance: This state-of-the-art unit is crucial for advancing Bharat’s domestic semiconductor production and addressing the rising demand.
Semiconductor Expansion in Assam
Tata Group’s Initiative: Through a 60-year lease agreement in Morigaon, Assam, Tata will establish a semiconductor facility by 2025.
Focus Areas: The facility will drive innovation in AI, electronics, and semiconductor skill development.
Bharat’s First Semiconductor Fabrication Facility
Joint Venture: Tata and Powerchip Taiwan have secured Rs 270 billion to establish a fab plant in Dholera, Gujarat.
Expected Output: This facility will produce 48 million chips per day, contributing significantly to Bharat’s domestic supply of semiconductors.
Industry-Academia Collaborations and Innovation AMD and IIT Bombay Partnership
Focus: AMD has partnered with IIT Bombay, providing grants to startups developing energy-efficient Spiking Neural Network (SNN) chips.
Significance: This collaboration highlights Bharat’s drive towards innovation in low-power semiconductor technologies, essential for the future of AI and IoT.
HCL and Foxconn Joint Venture
Project: HCL and Foxconn are collaborating to create an OSAT (Outsourced Semiconductor Assembly and Test) unit, enhancing Bharat’s semiconductor packaging and testing capabilities.
Bharat’s Path to Semiconductor Dominance
Bharat’s journey to become a semiconductor powerhouse is being fuelled by a combination of strategic partnerships, Government initiatives, and significant foreign investments. The establishment of fabrication plants, advanced testing units, and research collaborations with global tech leaders signifies Bharat’s commitment to developing a self-reliant semiconductor ecosystem. These initiatives not only aim to reduce import dependency but also position Bharat as a leading player in the global semiconductor supply chain. With sustained efforts, Bharat is on the verge of becoming a key contributor to global technological innovation, solidifying its role as a major hub for semiconductor manufacturing and research.
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