India’s ambition of manufacturing semiconductor chips appears to be taking longer to materialize.
The Centre, which expects its semiconductor market to be worth $63 billion by 2026, had received three proposals to set up a fab (fabrication/production) in the country.
Three entities (Vedanta-Foxconn, international consortium ISMC and Singapore-based IGSS Ventures) that had applied to build the chips are facing hurdles in setting up their manufacturing plants in India.
- Vedanta-Foxconn struggles to find a tech partner that could licence them the technology to manufacture 28-nanometre chips.
- ISMC has asked not to consider its proposal owing to a pending merger between Intel and Tower Semiconductor
- Singapore-based IGSS Venture’s proposal was not found to be up to the mark by the government’s advisory committee.
Govt. efforts – Semicon India Programme: Launched in 2021 with an outlay of Rs 76,000 crore, the programme seeks to support the development of the semiconductors and the display manufacturing ecosystem in India.
It will reopen the window for applying to its Rs 76,000 crore semiconductor manufacturing plan.