‘We Are Creating History’: India Breaks Ground for Newly Approved Semiconductor, OSAT Plants
Tata Electronics Private Limited (TEPL) is setting up a Rs 91,000 crore Semiconductor fabrication facility at the Dholera Special Investment Region (DSIR) and a Rs 27,000 crore Outsourced Semiconductor Assembly and Test (OSAT) facility in Morigaon, Assam.
India’s decade-old dream becoming a semiconductor hub is turning into a reality. On Wednesday, Prime Minister Narendra Modi laid the foundation stone for three plants virtually—Tata Electronics Fab and Outsourced Semiconductor Assembly and Test (OSAT), and CG Power’s OSAT.
Also present were Natarajan Chandrasekaran, Chairman of Tata Sons; Ashwini Vaishnaw, Minister of Electronics & IT; Bhupendra Patel, Chief Minister of Gujarat. Vellayan Subbiah, Chairman, CG Power & Industrial Solutions Ltd, and Himanta Biswa Sharma, Chief Minister, Assam, joined virtually from Assam. Rajeev Chandrasekhar, Minister of State, Ministry of Electronics and IT, also joined the ceremony virtually.
This development comes just 14 days after the government approved one semiconductor fab and two testing and packaging plants on February 29, 2024.
“Today’s day is historical. Today, we are creating history and also taking a big step towards bright future. The ground-breaking ceremony of three big semiconductor manufacturing plants will help India become a major semiconductor hub,” says Prime Minister Narendra Modi.
“Everything that is turned on or off requires semiconductors. Since 1962, India has been making efforts to set up semiconductor industry in India. And India has achieved this success today. This day will be written in the history of India,” Vaishnaw said.
CG Power and Industrial Solutions has formed a joint venture with Japan’s Renesas Electronics Corporation and Stars Microelectronics (Thailand) to invest Rs 7,600 crore over a five-year period for setting up an OSAT facility. The JV will be 92.3% owned by CG, with Renesas and Stars Microelectronics holding equity capital of approximately 6.8% and 0.9%, respectively. The JV will set up a state-of-the-art manufacturing facility in Sanand, Gujarat, with a capacity that will ramp up to 15 million units per day. The JV will manufacture a wide range of products – ranging from legacy packages such as QFN and QFP to advanced packages such as FC BGA, and FC CSP. The JV will cater to industries such as automotive, consumer, industrial, 5G, to name a few.
“75 years ago, my grandfather manufactured India’s first bicycle. That was India’s need back then. Today is the announcement of India’s arrival in the semiconductor state. We are seeing an awaking and resurgence that India has never seen before. Govt and industry are collaborating effectively,” Subbiah said.
Tata Electronics Private Limited (TEPL) is setting up a Rs 91,000 crore Semiconductor fabrication facility at the Dholera Special Investment Region (DSIR) and a Rs 27,000 crore Outsourced Semiconductor Assembly and Test (OSAT) facility in Morigaon, Assam.
“Today is indeed a very special day for India and Tata Group for foundation stones being laid for both our plants, in east and in west, 2500kms apart. These semiconductor manufacturing hubs will have a very impact on the ecosystem from across the globe and will mobilize India as their preferred semiconductor destination for our semiconductor,” said N Chandrasekaran, Chairman, Tata Sons.
Tata Electronics has partnered with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) to build India’s first AI-enabled state-of-the-art Fab. The new semiconductor Fab will manufacture chips for applications such as power management IC, display drivers, microcontrollers (MCU) and high-performance computing logic, addressing the growing demand in markets such as automotive, computing and data storage, wireless communication and artificial intelligence. This Fab will have manufacturing capacity of up to 50,000 wafers per month and will include next generation factory automation capabilities deploying data analytics and machine learning to achieve industry-best factory efficiency.
