The United States is set to witness a significant technological milestone, as India is on track to unveil its first domestically produced semiconductor chips in 2025. This announcement was made by Ashwini Vaishnaw, India’s Minister for Railways, Communications, Electronics, and Information Technology, at the World Economic Forum held in Davos.
During his announcement, Minister Vaishnaw revealed, “This year will mark the debut of our inaugural ‘Made in India’ chip, and we are now advancing to the next stage. We aim to attract equipment manufacturers, material suppliers, and designers to India. To enhance materials from parts per million to parts per billion purity levels, significant transformative changes are necessary, and the industry is committed to achieving these enhancements,” he explained to reporters.
Initially targeted for a December 2024 release, the first chip is now expected to be available by August or September 2025. Additionally, a semiconductor fabrication facility is anticipated to commence operations in 2026, likely supported by Taiwan’s Powerchip and India’s Tata.
The pioneering batch of ‘Made-in-India’ chips will be manufactured using the 28nm process. Although this represents a leap forward, it still lags behind the ultra-modern 2nm processes being developed by leading global chipmakers. Nevertheless, these 28nm chips are crucial across several sectors, including automotive, consumer electronics, and the Internet of Things (IoT). They are also used in 4G transceivers, mobile device enhancements, entertainment systems, and more.
In response to the increasing worldwide demand for semiconductor chips and the strategic goal to diversify supply chains away from Chinese and Taiwanese sources, India is intensifying efforts to expand its semiconductor industry. The government has established the India Semiconductor Mission (ISM), a standalone business entity under the Digital India Corporation, to oversee this initiative. The ISM is empowered with administrative and financial independence to craft and execute long-term strategies that promote the growth of semiconductor and display manufacturing capacities, as well as to enhance the semiconductor design infrastructure.
Moreover, India is actively seeking substantial foreign investments to bolster its semiconductor sector. NXP Semiconductors has announced plans to invest over $1 billion in expanding its research and development activities within the country. Similarly, Analog Devices is exploring opportunities for domestic semiconductor production in collaboration with the Tata Group. Furthermore, Micron Technology is establishing a $2.75 billion assembly and testing facility in Gujarat, which is expected to create 5,000 direct positions and an additional 15,000 jobs within the community.
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Avery Carter explores the latest in tech and innovation, delivering stories that make cutting-edge advancements easy to understand. Passionate about the digital age, Avery connects global trends to everyday life.