Key Points

India is preparing to launch Semicon 2.0 as the next phase of its semiconductor development program. The government has nearly committed the entire Rs 76,000 crore from the first phase to various projects. Ten semiconductor manufacturing projects have been approved across six states with massive investments. The country expects to see its first commercially produced chips from these new facilities before the end of this year.

Key Points: India Launches Semicon 2.0 to Boost Semiconductor Ecosystem

  • MeitY developing Semicon 2.0 with Finance Ministry consultation
  • First commercial chips expected from Indian fabs by end of 2025
  • Rs 76,000 crore Semicon 1.0 outlay nearly fully committed
  • 10 semiconductor projects approved across 6 states with Rs 1.60 lakh crore investment
2 min read

Semicon 2.0 in pipeline to boost India's chips ecosystem

India's MeitY develops Semicon 2.0 program to build on semiconductor success. First commercial chips expected by year-end from new facilities in 6 states.

"India will see its first commercially made chips from new facilities before the end of this year - S Krishnan, MeitY Secretary"

New Delhi, August 22

The Ministry of Electronics and Information Technology (MeitY) has begun work on the next phase of India's semiconductor programme, Semicon 2.0, and is currently holding discussions with the Ministry of Finance and other stakeholders to finalise its contours.

Confirming the development, MeitY Secretary S Krishnan said 'Semicon 2.0' is in the pipeline.

Semicon 2.0 will build on the momentum created under the first phase.

The announcement comes ahead of Semicon India 2025, scheduled to be held from September 2-4 at Yashobhoomi, Delhi. Prime Minister Narendra Modi will inaugurate the event on September 2.

Under India Semiconductor Mission, or Semicon 1.0, the government had made an outlay of Rs 76,000 crore for the development of the semiconductor and display manufacturing ecosystem in the country.

The Secretary today said those Rs 75,000 crore outlay has almost been fully committed to projects unde.

Of those, Rs 64,000 crore were allocated for chip fabs, Rs 10,000 crore for the semiconductor lab, and Rs 1,000 crore for Design-Linked Incentive scheme

Some money is still left unutilized, and might accommodate 2-3 small projects, the secretary said.

As on date, the government has approved 10 semiconductor manufacturing projects with a cumulative investment of more than Rs 1.60 lakh crore in 6 states - Gujarat, Assam, Uttar Pradesh, Punjab, Odisha, and Andhra Pradesh.

India will see its first commercially made chips from new facilities before the end of this year, S Krishnan, Secretary, Ministry of Electronics and IT, said Friday, briefing media ahead of the Semicon India 2025.

In separate news, the Ministry of Electronics and Information Technology (MEITY) announced today that the government may unveil two to three small semiconductor projects in the coming period, as the nation's ambitious semiconductor manufacturing program gains momentum.

Secretary S Krishnan, responding to queries from ANI, revealed that leftover funds from the India Semiconductor Mission 1.0 could potentially accommodate these additional projects.

- ANI

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Reader Comments

P
Priya S
Hope they focus on skill development too. We need trained engineers and technicians to run these fabs. Semicon 2.0 should include strong educational partnerships with IITs and NITs.
R
Rohit P
First chips by end of this year? That's impressive speed! Hope the quality matches global standards. This could reduce our dependence on imports significantly.
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Sarah B
While the initiative is good, I hope there's proper transparency in how these massive funds are allocated. We've seen projects get delayed in the past. Accountability is key.
V
Vikram M
Great to see multiple states benefiting - Gujarat, Assam, UP, Punjab, Odisha, Andhra. This will help develop manufacturing hubs across India, not just in traditional IT cities.
M
Michael C
The Design-Linked Incentive scheme is smart thinking. We have amazing chip designers in India - this will help create complete semiconductor ecosystem from design to manufacturing.

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