Union Cabinet Approves Semiconductor Ventures by Tata and Murugappa Groups
In a significant development, the Union Cabinet has granted approval to three companies, all helmed by the dynamic duo of brothers N. Chandrasekaran and N. Srinivasan, to establish semiconductor manufacturing units.
Topping the list is Tata Electronics Private Ltd, led by N. Chandrasekaran, Chairman of Tata Sons. The company is set to collaborate with Taiwan's Powerchip Semiconductor Manufacturing Corp (PSMC) to build a semiconductor fab in Dholera, Gujarat, with a whopping investment of Rs 91,000 crore. This cutting-edge facility is poised to produce 50,000 wafer starts monthly, featuring high-performance compute chips utilizing 28 nm technology. The applications of these chips extend across diverse sectors, including electric vehicles (EV), telecom, defense, automotive, consumer electronics, display, and power electronics.
Adding to the ambitious semiconductor endeavors, another Tata Group entity, Tata Semiconductor Assembly and Test Pvt Ltd, under the leadership of N. Chandrasekaran, will establish a semiconductor unit in Morigaon, Assam, with an investment of Rs 27,000 crore. This facility, with a daily chip production capacity of 48 million, will cater to industries such as automotive, electric vehicles, consumer electronics, telecom, and mobile phones. TSAT semiconductor, a subsidiary, is at the forefront of developing indigenous advanced semiconductor packaging technologies, including flip chip and integrated system in package (ISIP) technologies.
Not to be outdone, the Murugappa Group's CG Power, spearheaded by N. Srinivasan, received the Cabinet's nod for a semiconductor unit specializing in chips, requiring an investment of Rs 7,600 crore. Partnering with Renesas Electronics Corporation of Japan and Stars Microelectronics of Thailand, CG Power will establish this facility in Sanand, Gujarat. Renesas Electronics Corporation, renowned in the semiconductor domain, operates 12 semiconductor facilities and is a major player in microcontrollers, analog, power, and System-on-chip (SoC) products. The proposed CG Power semiconductor unit aims to manufacture 15 million chips per day, catering to consumer, industrial, automotive, and power applications.
This strategic move reflects a concerted effort by these prominent companies to bolster India's semiconductor manufacturing capabilities and contribute to the nation's technological advancement across various sectors.