India's Semiconductor Revolution: How the Nation is Building a World-Class Chip Manufacturing Ecosystem
From being a net importer of semiconductors worth over $60 billion annually to aspiring to become a major chip manufacturing hub, India's semiconductor journey represents one of the most ambitious industrial transformations of the 21st century. The government's Production Linked Incentive (PLI) scheme, coupled with state-of-the-art fabrication facilities and research centers, is laying the foundation for what could become the world's next semiconductor superpower. This revolution extends far beyond manufacturing, encompassing design, research, and innovation across the entire chip ecosystem.
Strategic Partnerships and International Collaborations Shaping India's Chip Industry
India's semiconductor journey is being accelerated through strategic partnerships with global technology leaders and nations with advanced chip manufacturing capabilities. Notable collaborations include partnerships with Taiwan Semiconductor Manufacturing Company (TSMC), discussions with Intel for potential fab establishments, and technology transfer agreements with countries like Japan, South Korea, and Israel. These partnerships are crucial for accessing cutting-edge technologies, manufacturing expertise, and global supply chain integration.
The India-US Initiative on Critical and Emerging Technologies (iCET) has opened new avenues for semiconductor cooperation, including joint research and development programs. Similarly, India's collaboration with the European Union through the Trade and Technology Council is facilitating technology sharing and investment in semiconductor manufacturing. These international partnerships not only bring capital investment but also provide access to advanced manufacturing processes, skilled workforce development programs, and global market opportunities for Indian semiconductor companies.