India’s journey in chip-making may start with ATMPs

India may have to attend some time earlier than bleeding-edge chips from corporations similar to Intel, TSMC and Samsung are manufactured right here. For now, the nation’s journey in the semiconductor sector is extra prone to start with meeting, testing, marking and packaging (ATMP) and specialty fabs.

India’s massive cell phone market has usually been cited because the harbinger of a thriving semiconductor manufacturing base, however the lack of infrastructure and the absence of legacy in the enterprise is preserving high gamers in the enterprise away, in accordance with business consultants.

“We really helpful (to the federal government) that we have to actually concentrate on the 28nm know-how node,” mentioned Rajeev Khushu, chairman of the India Electronics and Semiconductor Affiliation (IESA).

The “proper first step” for the nation can be to go with semiconductor ATMP corporations, which generate extra employment and require much less funding than full-fledged fabs, he mentioned.

IESA had additionally urged the federal government to start with specialty fabs, which play a key function in sectors similar to energy, electrical autos and medical gadgets, Khushu mentioned.

“The benefit with specialty fabs is that it’s nonetheless a brand new factor and thus you aren’t far behind and may catch up. ATMPs will take off first, adopted by specialty fabs after which high-tech fabs,” he mentioned.

The federal government may have acquired as much as 20 expressions of curiosity (EoIs) for this know-how, in accordance with a high government from a semiconductor agency working in India.

The federal government has acquired EoIs from international gamers and would come up with “concrete schemes” for semiconductor manufacturing in India in six months, Ajay Prakash Sawhney, secretary, ministry of electronics and data know-how, had mentioned at an business occasion in May.

The Tata group and Vedanta group have reportedly been in talks to enter the house, although Vedanta may arrange a show fabrication plant as a substitute of a semiconductor plant. “Huge names” in India have began recruiting expertise for semiconductor ATMP, whereas others have began reaching out to international gamers to discover joint ventures, mentioned the chief quoted above.

However the largest semiconductor corporations in the world will not be contemplating India in any respect, consultants mentioned. “India has been attempting to deliver chip producers into the nation for a few years, to cut back the reliance on imports and to have trusted companions for crucial functions. Nevertheless it all the time has been and nonetheless continues to be troublesome to draw multinational corporations to arrange chip fabrication items in India,” mentioned Gaurav Gupta, Analysis VP at Gartner.

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