India has approved four new semiconductor projects worth 4,594 crore rupee (US$524.2 million) across Odisha, Andhra Pradesh, and Punjab, the government announced on August 12.

These projects are backed by SiCSem Pvt Ltd, Heterogeneous Integrated Packaging Solutions Pvt Ltd (HIPSPL), Continental Device India Pvt Ltd (CDIL), and Advanced System in Package (ASIP) Technologies.

They bring the total number of sanctioned chip manufacturing facilities in India to 10.

SiCSem will partner with Scotland’s Clas-SiC Wafer Fab to build a silicon carbide facility in Bhubaneswar.

HIPSPL, a subsidiary of US firm 3D Glass Solutions, will establish an advanced packaging plant in the same city.

CDIL will expand its Mohali facility in Punjab, while ASIP Technologies will set up a new unit in Andhra Pradesh.

These projects are expected to create around 2,000 skilled jobs and supply chips for sectors such as defense, EVs, consumer electronics, and power infrastructure.

🔗 Source: The Economic Times

🧠 Food for thought

1️⃣ India positions for significant share of rapidly expanding global semiconductor market

India’s Rs 1.6 lakh crore projected investment across 10 semiconductor facilities represents a strategic bet on capturing growth in a booming global market.

The global semiconductor industry is projected to reach $697 billion in 2025, marking 11.2% growth, with potential to hit $1 trillion by 2030 1. India’s semiconductor market is expected to grow from approximately $38 billion in 2023 to $100-110 billion by 2030, suggesting the country aims to capture roughly 10% of the global market 2.

This timing aligns with unprecedented global demand, as worldwide semiconductor sales reached $630.5 billion in 2024, surpassing initial forecasts 3. The scale of India’s investment becomes clearer when viewed against this backdrop. The country is making a calculated push to establish manufacturing capabilities just as global demand accelerates.

The India Semiconductor Mission’s ₹76,000 crore corpus supports this ambitious timeline, with the government targeting domestic production to serve both local demand and export opportunities in a market experiencing consistent year-on-year growth for eleven consecutive months 2.

2️⃣ Compound semiconductors and advanced packaging represent strategic technology differentiation

India’s focus on silicon carbide compound semiconductors and advanced glass substrate packaging positions the country in high-value, specialized market segments rather than competing directly in commodity silicon production.