First Homegrown Semiconductor Chip Set to Launch by Late 2025: A Game-Changer for the Tech Industry
A Historic Milestone for India’s Semiconductor Industry
First Homegrown Semiconductor Chip :India is set to unveil its first domestically manufactured semiconductor chip by September or October 2025, marking a major step toward technological self-reliance. This significant announcement was made by IT Minister Ashwini Vaishnaw in Bengaluru, signaling India’s commitment to becoming a key player in the global semiconductor industry.
Tata Electronics and PSMC: Driving India’s First Semiconductor Fabrication Plant
Leading the charge, Tata Electronics, in collaboration with Powerchip Semiconductor Manufacturing Corporation (PSMC) of Taiwan, is building India’s first semiconductor fabrication plant (fab) in Dholera, Gujarat. This venture is expected to strengthen India’s position in the global semiconductor market and reduce dependency on foreign chip imports.
Government’s Push for Semiconductor Research & Development
To further boost India’s semiconductor ecosystem, the Indian government has allocated ₹334 crore to the Indian Institute of Science (IISc), Bengaluru, for advanced research and development (R&D) in Gallium Nitride (GaN) technology.
Why is Gallium Nitride Important?
- GaN is a next-gen semiconductor material used in telecom and power applications.
- It is cheaper to manufacture than traditional silicon-based semiconductors.
- IISc has developed India’s first e-mode GaN power transistor, which performs on par with the best in the world.
- GaN is better suited for high-power and high-frequency applications, making it a game-changer for India’s semiconductor industry.
Upcoming PLI Scheme for Semiconductor Components
To encourage domestic semiconductor manufacturing, the government will soon introduce a production-linked incentive (PLI) scheme for components. This scheme aims to:
✔️ Attract more investments in semiconductor manufacturing.
✔️ Boost local production and reduce reliance on imports.
✔️ Encourage startups to enter the semiconductor space.
IndiaAI Mission: Strengthening AI Infrastructure
As part of its push towards artificial intelligence (AI) development, the Indian government will launch a dedicated portal for Graphics Processing Units (GPUs) within a week under the IndiaAI Mission.
This platform will provide AI researchers, developers, and enterprises access to high-performance computing resources, helping accelerate AI innovation in India.
₹13,162 Crore Investments in Electronics Manufacturing
India has seen a massive ₹13,162 crore investment in the electronics manufacturing sector, reflecting the growing confidence of global investors in India’s potential.
Additionally, to develop skilled professionals, the government has provided the latest semiconductor design tools to students across 234 universities, ensuring India builds a strong talent pool for the industry.
India Semiconductor Mission (ISM): The Roadmap Ahead
The government is working in a phased manner to strengthen India’s semiconductor capabilities:
ISM 1.0 – Focuses on modernizing the Semiconductor Lab in Mohali.
ISM 2.0 – To be launched after ISM 1.0 is completed, with budget details to be revealed post-cabinet approval.
Financial Overview of India’s Semiconductor and Electronics Investments
| Initiative/Investment | Amount (₹ Crore) |
|---|---|
| Funding for IISc’s GaN R&D | 334 |
| Total investments in electronics manufacturing | 13,162 |
India’s Semiconductor Future: A Game-Changer in the Making
With these bold initiatives, India is moving rapidly toward self-sufficiency in semiconductor production. The launch of the first Made-in-India semiconductor chip in 2025 is just the beginning of a revolution that could place India among the top semiconductor hubs in the world.
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