Business Industry

Tata Electronics to Launch India’s First Indigenous Semiconductor Chip by Late 2025

In a landmark development for India’s technology sector, Tata Electronics is poised to introduce the country’s first indigenous semiconductor chip by September or October 2025. This initiative is a significant stride towards establishing a robust domestic semiconductor manufacturing ecosystem.

Collaborative Effort in Semiconductor Manufacturing

The forthcoming chip is the result of a collaboration between Tata Electronics and Powerchip Semiconductor Manufacturing Corporation (PSMC). Production will take place at India’s inaugural semiconductor fabrication plant located in Dholera, Gujarat. This facility is a cornerstone of the Semicon India program, a government-backed initiative launched in December 2021 with an investment of ₹76,000 crore. The program’s objective is to foster a comprehensive semiconductor and display manufacturing ecosystem within the nation.

Government Support and Technological Advancements

In addition to facilitating manufacturing capabilities, the Indian government has allocated ₹334 crore to the Indian Institute of Science (IISc), Bengaluru, for research and development in gallium nitride (GaN) technology. GaN is a critical material in semiconductors, especially pertinent to telecommunications and power applications. This investment underscores the government’s commitment to advancing semiconductor technology and reducing reliance on imports.

Launch of the India AI Mission Portal

Complementing the strides in semiconductor manufacturing, the government is set to launch the India AI Mission portal within the next week. This platform aims to democratize access to high-performance computing resources, providing approximately 14,000 graphics processing units (GPUs) to support artificial intelligence development. These GPUs will be sourced from ten selected companies, including Yotta Data Services, E2E Networks, Tata Communications, and managed service providers associated with Amazon Web Services (AWS).

The portal will enable central ministries, state governments, and other stakeholders to request computing capacity at subsidized rates, significantly lowering the barriers to entry for AI research and development. This initiative is expected to accelerate innovation and position India as a competitive player in the global AI landscape.

The combined efforts in semiconductor manufacturing and AI infrastructure development reflect India’s strategic focus on technological self-reliance and its ambition to become a hub for cutting-edge technology industries.

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