2nd June 2023


India’s Chipmaking future not as bright as Modi initially hoped

Companies that invested in India's $10 billion semiconductor incentives are yet to find a technology partner. India’s Prime Minister Narendra Modi had high hopes for chipmaking in the country despite the outlook not being as bright as initially thought.

Chip consortium ISMC’s planned $3 billion semiconductor facility in India is paused due to the company's ongoing takeover by Intel.

A second mega $19.5 billion plan to build chips locally by India's Vedanta and Taiwan's Foxconn is also slow as their talks to work with European chipmaker STMicroelectronics as a partner are on hold.

Chipmaking is a priority in Modi’s economic strategy as his plan is to "usher in a new era in electronics manufacturing.”