August 4, 2025
NEW DELHI – India has taken a significant step forward in its semiconductor journey with the recent launch of cutting-edge 3-nanometre (nm) chip design facilities in Noida and Bengaluru. Inaugurated by Union Electronics & IT Minister Ashwini Vaishnaw, the facilities mark a leap in India’s design capabilities, placing it in the league of nations working on next-generation chip technologies, according to an official statement released on Sunday.
“Designing at 3 nanometres is truly next-generation,” Vaishnaw said while unveiling the facilities, adding that India had already achieved chip design capabilities at 7 nm and 5 nm. “This development marks a new frontier in semiconductor innovation,” he added. These facilities are the first of their kind in the country, and their launch signals India’s increasing readiness to contribute not just to chip consumption but also to chip innovation and production.
This development comes under the broader umbrella of the India Semiconductor Mission (ISM), launched in 2021 with a total financial outlay of Rs 76,000 crore. The mission supports chip fabrication, assembly, testing, and packaging units, display fabs, and semiconductor design startups, all of which are critical to establishing a robust and self-reliant semiconductor ecosystem.
According to the official document, India’s semiconductor market is currently valued at USD 45–50 billion and is expected to grow to USD 100–110 billion by 2030. With global semiconductor demand projected to touch USD 1 trillion by the same year, India is positioning itself as a credible alternative in a world heavily reliant on Taiwan and South Korea for chip manufacturing, the officials stated.
The global supply chain shocks of recent years have underscored the importance of geographic diversification, and India is increasingly seen as a trusted player in the field.
The ministry expanded on the major projects that are underway. Micron Technology’s assembly and testing facility in Sanand, Gujarat, is being set up with an investment of Rs 22,516 crore. Tata Electronics and Taiwan’s Powerchip have partnered to build a greenfield fabrication unit in Dholera with an investment of Rs 91,000 crore. Other approved projects include chip manufacturing units in Gujarat, Uttar Pradesh, and Assam by companies like CG Power, Renesas, HCL, Foxconn, and Kaynes Semicon.
The press statement highlighted that in addition to infrastructure, the government is focusing on nurturing semiconductor design startups through the Design-Linked Incentive (DLI) Scheme. Already, Rs 234 crore has been approved for 22 startups working on chipsets for mobile networks, satellite communications, power management, and imaging systems. A DLI-supported startup is designing 3 nm chips using advanced Electronic Design Automation tools.
Efforts are also underway to build a strong talent pipeline. Over one lakh engineers are expected to be trained at SMART labs, and new collaborations have been established with companies like Lam Research, IBM, and Micron, as well as institutions such as IIT Roorkee and Purdue University, the ministry stated. One such partnership aims to train 60,000 engineers over the next decade using simulation-based learning platforms.
As India prepares to host the fourth edition of SEMICON India in September, attracting participation from over 300 global players, the momentum is building. From new design milestones to production-ready infrastructure and deep international collaborations, India’s semiconductor ambitions are quickly translating into tangible progress.