In a significant development for Bharat’s semiconductor industry, Union IT Minister Ashwini Vaishnaw announced that Micron Technology, the semiconductor manufacturer, is on track to release its first chip in Bharat by December 2024. Micron had earlier disclosed an $825 million investment for a new assembly and test facility in Gujarat in June last year.
Vaishnaw highlighted the impressive progress, stating that Micron’s announcement was made in June 2023, and construction commenced in September 2023, completing in just 90 days. This accelerated timeline is considered a record globally, instilling confidence in India’s semiconductor initiatives. Vaishnaw conveyed positive feedback from industry leaders at the World Economic Forum (WEF) in Davos, where discussions on Bharat’s semiconductor push took place.
The minister emphasized the success of the first plant as crucial for building confidence. HCL Group’s recent joint venture with Foxconn for semiconductor assembly and test operations in India further signals growing momentum in the sector.
Addressing skepticism about Bharat’s semiconductor ambitions, Vaishnaw dismissed doubts, asserting that industry leaders at Davos were impressed with the rapid progress in India. The government’s Rs 76,000-crore scheme to establish a semiconductor manufacturing ecosystem reflects a commitment to developing a robust industry.
Vaishnaw highlighted Bharat’s strength in the semiconductor value chain, particularly in design. He noted that India is transitioning from a back-office role to a full product designer, with global leaders acknowledging the maturity of Indian design engineers. Nearly 30% of global talent in design is currently in Bharat, making the country a significant player in the industry.
Regarding domestic chip manufacturing capacity, the minister emphasized that this is a ten-year journey. He stressed that Bharat is starting a new industry from scratch and anticipates gains in both design and manufacturing. Vaishnaw referred to discussions at the WEF, where it was noted that India’s advanced design ecosystem provides a substantial advantage.
Micron had previously outlined that Phase-1 construction of the assembly and test facility would be operational by late 2024. Phase 2, a facility of similar scale, is expected to commence construction in the latter half of the decade. The developments underscore Bharat’s ambition to not only meet its semiconductor needs but also become a global player in this crucial industry.
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