L&T Semiconductor Aims to Power India's Sovereign AI with Custom Chips

L&T Semiconductor is prioritizing the development of power semiconductors for critical infrastructure and electric vehicles. The company is also focusing on creating custom AI and data center chips tailored for Indian sectors like defence and finance to improve efficiency. CEO Sandeep Kumar highlighted a significant imbalance where India generates 20% of global data but captures only a tiny fraction of its monetization, stressing the need for a sovereign technology ecosystem. He further warned that AI and quantum computing elevate cybersecurity risks, making domestic semiconductor capability crucial for national security.

Key Points: L&T Semiconductor CEO on Custom Chips for Sovereign AI

  • Power semiconductors for energy & EVs
  • Custom AI chips for efficiency
  • Building domestic product capability
  • Addressing data monetization gap
  • Cybersecurity threats from AI & quantum
3 min read

L&T Semiconductor's thrust is to develop customised chips for Sovereign AI stack: CEO Sandeep Kumar

L&T Semiconductor CEO Sandeep Kumar outlines focus on power semiconductors and custom AI chips to build India's sovereign tech stack and data security.

"We need a sovereign stack. Our chips should be made here, our cards should be made here, and our servers should be made here. - Sandeep Kumar"

By Shailesh Yadav, New Delhi, February 19

L&T Semiconductor has identified power semiconductors as a major priority, given their critical role in energy infrastructure, industrial systems, and electric vehicles according to the company's Chief Executive Officer Sandeep Kumar.

"Power devices are the backbone of energy grids and EV systems. We are moving very fast in this area," he said in a conversation with ANI.

The company is working closely with the government in grid-related deployments.

Positioning L&T Semiconductor as a product-focused company, Kumar said the firm is not merely building manufacturing facilities but developing its own semiconductor products to be produced in those factories.

Another major thrust area is custom AI and data centre chips. Kumar noted that global technology giants increasingly design custom chips tailored to their specific workloads, as generic processors may not always offer optimal efficiency.

Similarly, in India, sectors such as defence, finance, and agriculture will require customized semiconductor solutions. Generic data centre systems often consume more power and take longer for training and inference tasks, making vertical-specific chips more efficient.

L&T Semiconductor CEO said they were also developing solutions in mobility and communication. With electric vehicle adoption rising and wireless data traffic expanding, Kumar said these segments represent significant growth opportunities. The company is building wireless modules and other communication-related semiconductor products to address these demands, he added.

He also suggested that India must significantly accelerate its efforts in semiconductor design and product development to build a sovereign technology ecosystem. He emphasised that while recent government initiatives mark a strong beginning, the country needs to scale up to compete at the global level.

Kumar highlighted a stark imbalance in India's position within the global digital economy.

"Twenty per cent of the world's data comes from India, but only 2 per cent of global data storage is located here. The monetisation from that data is just 0.2 per cent," he said. "This means global companies are benefiting from Indian data."

He described the ongoing AI India Impact Summit and related policy measures as critical steps toward strengthening India's domestic ecosystem and attracting international companies to establish and grow operations within the country.

However, Kumar stressed that infrastructure alone is insufficient. "We need a sovereign stack. Our chips should be made here, our cards should be made here, and our servers should be made here," he said, underlining the importance of domestic capability across the semiconductor value chain.

He also warned of emerging cybersecurity challenges posed by artificial intelligence and quantum computing.

"AI makes hacking easier and faster. With quantum computing on the horizon, the computational power to break current systems will increase dramatically," he said. Developing domestic and sovereign systems would help reduce vulnerabilities to external data breaches and cyber threats, he added.

- ANI

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Reader Comments

P
Priya S
Focusing on power semiconductors for EVs and grid is very smart. Our energy transition depends on this. But I hope they also invest heavily in training the workforce. We have brilliant engineers, but we need more specialized chip designers. The government should fast-track curriculum updates in engineering colleges.
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Rohit P
Custom chips for defence, finance, agriculture... this is huge. A one-size-fits-all approach from foreign companies won't solve our unique problems. Imagine AI chips optimized for Indian crop patterns or our banking infrastructure. The potential is massive. Let's build it here! 💪
S
Sarah B
The cybersecurity angle is critical and often overlooked. If our core infrastructure runs on foreign chips, we are vulnerable. Building domestic capability isn't just about economics; it's about safety. Hope this gets the policy support and long-term funding it deserves.
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Vikram M
Good vision, but execution is key. We've seen big announcements before. The semiconductor fab ecosystem is complex and capital intensive. My respectful criticism: We need more clarity on partnerships, timelines, and how they'll compete with established global players on cost and performance. The intent is 100% right though.
K
Kavya N
As someone in tech, this is exciting! The move from just manufacturing to actual product design is a game-changer. It creates high-value IP and jobs. The focus on AI and data centers is timely. If we can build efficient chips for our climate and needs, it's a win-win. More power to L&T! 🙌

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