India Strengthens Semiconductor Industry at Semicon India 2025
During the Semicon India 2025 conference, Prime Minister Narendra Modi met with industry leaders and experts. This three-day event aims to establish India as a key player in the global semiconductor supply chain.
On the second day, Modi toured the exhibition, checking out various semiconductor technologies and products being showcased.
Union Minister of Electronics and Information Technology, Ashwini Vaishnaw, made 13 significant announcements. These included the introduction of India’s first locally developed chips and systems designed for wireless earbuds, wearables, and digital identity technologies.
Vaishnaw stated, “From fabrication facilities and design to research and funding, these initiatives are a big step for Bharat’s semiconductor landscape. We’re building global trust, promoting homegrown innovation, and leveraging a robust talent pool. The future of chips is being crafted in India.”
The conference also saw key partnerships formed, including an agreement between Tata Electronics and Merck to set up a fabrication facility in Gujarat, and a deal with the Centre for Development of Advanced Computing (C-DAC) to enhance India’s design and intellectual property capabilities. Other collaborations involved companies like Kaynes Semicon and SPARSH-IQ Solutions, aimed at developing fully indigenous automotive and industrial AI technologies.
Additionally, the event highlighted the creation of India’s first National Innovation Hub for semiconductors and quantum technology in collaboration with L&T Semicon and IISc Bangalore. Other initiatives included launching an Internet of Things (IoT) Evolution Board powered by the local VEGA processor and establishing the India Deep-Tech Investment Alliance, which has pledged $1 billion to support deep tech startups.
Discussions on day two centered around the growth of the semiconductor sector in India. Experts explored potential policies and strategies to develop a skilled workforce. Rajat Moona, director of IIT Gandhinagar, called for the introduction of hardware training from the school level to ensure that students gain essential skills early on.
State-level policies were also a major focus. Senior officials shared how their states are promoting investment and implementing semiconductor strategies. There was agreement that while cooperation among states is vital, healthy competition would ultimately yield better outcomes. Ajay Sawhney, a former secretary at the Ministry of Electronics and Information Technology, noted, “States will collaborate to a point but will end up competing as well.”
Industry leaders stressed the need for India to evolve into a product-driven nation. Ajai Chowdhry, co-founder of HCL Infosystems, suggested requiring that at least half of the semiconductor chips in products be sourced locally. He emphasized that controlling chip production is crucial for national security, especially given the complexity of global competition.
“The next conflicts will revolve around semiconductors,” Chowdhry remarked, highlighting the strategic importance of tech independence for India.
