India's Semiconductor Surge: Government Greenlights US $15 Bn. Investment for Three New Manufacturing Facilities
Government of India approves three new semiconductor manufacturing facilities, boosting India Semiconductor Mission with US $15 billion investment.
BUSINESS | INVESTMENT
01 April 2024
In a significant boost to its India Semiconductor Mission (ISM) initiative, the Government of India approved the establishment of three new semiconductor manufacturing facilities, with the investment amounting to US $15 billion:
Fabrication plant with 50,000 wafer starts per month (WFSM) capacity @ Dholera, Gujarat
ATMP (Assembly, Test, Marking, and Packaging) unit @ Morigaon, Assam
ATMP unit for specialized chips @ Sanand, Gujarat
With this, India currently has four semiconductor manufacturing facilities. A chip-packaging plant is already under construction in Sanand, Gujarat, as part of a previous agreement. Last June, prominent U.S.-based memory and storage maker Micron agreed to build a packaging and test facility there.
A ripple effect is expected to accelerate job opportunities in downstream industries such as automotive, electronics, telecom, industrial, and other businesses that use semiconductors. The semiconductor industry in India is expected to provide jobs across diverse roles, including testing, engineering, software development, system circuits, validation, and operations.
Modern technology is built on semiconductor chips, which power everything from high-end drones and self-driving automobiles to cell phones. Taiwan, China, the United States, South Korea, and Japan currently dominate the vast majority of the semiconductor manufacturing market.
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