Union Minister Ashwini Vaishnaw announced the Rs 3,700 crore investment in a new semiconductor factory under the government's India Semiconductor Mission.

The sixth facility under the government's flagship chip program will be built in Uttar Pradesh and will produce display chips for personal computers, smartphones, and cars. The minister stated in a briefing that it will be built to produce 36 million chips and 20,000 wafers every month.

Additionally, he opened the first 3-nanometer (3nm) chip design labs in Bengaluru and Noida.

These centers will concentrate on creating the nation's first 3 nm chips. India now has a competitive edge in the global semiconductor market thanks to this breakthrough.

The recently opened facilities are expected to advance India's semiconductor industry.

In addition to being a technological advancement, Renesas's new design centers demonstrate India's expanding electronics manufacturing capabilities, which are expanding at a double-digit compound annual growth rate (CAGR). 

 

"Designing at 3nm is truly next-generation. We’ve done 7nm and 5nm earlier, but this marks a new frontier," said Minister Vaishnaw, highlighting the breakthrough nature of this initiative.

The construction of these facilities demonstrates the nation's semiconductor industry's growing independence and advancement.

"Designing at 3nm is truly next-generation. We’ve done 7nm and 5nm earlier, but this marks a new frontier,” Vaishnaw said.

India has a comprehensive semiconductor strategy that includes supply chains for equipment, chemicals, and gas in addition to design, fabrication, assembly, testing, marking, and packaging (ATMP). Vaishnaw emphasized India's all-encompassing strategy, pointing to a strong environment that can support future expansion.

Large investments from firms like Applied Materials and Lam Research, both significant participants in the global semiconductor supply chain, increased trust in India's semiconductor sector. An important step in utilizing the wealth of expertise in the nation is the Semiconductor Design Centre, which was recently opened in Uttar Pradesh.

The Indian government has introduced a new semiconductor learning kit in an attempt to strengthen the semiconductor ecosystem even more. The goal of this program is to improve engineering students' practical hardware skills so that the workforce of the future is equipped to handle industry difficulties.

"This integration of software and hardware learning will create truly industry-ready engineers. We are not just building infrastructure but investing in long-term talent development," Vaishnaw stated.

These useful hardware kits will be supplied by the India Semiconductor Mission, which has enhanced more than 270 educational institutions with cutting-edge Electronic Design Automation (EDA) technologies.

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Hidetoshi Shibata, the CEO and Managing Director of Renesas Electronics, stressed the significance of India as a strategic pillar for the company during the occasion. Renesas is expanding its semiconductor capabilities in India, encompassing everything from testing to architecture, he said. Through government-sponsored programs like the India Semiconductor Mission and the Production Linked Incentive (PLI) scheme, the corporation also actively supports over 250 academic institutions and other startups.