India to Launch First Indigenous Semiconductor Chip by October 2025

India is set to roll out its first domestically manufactured semiconductor chip by September or October 2025, according to Union Minister of Electronics and IT Ashwini Vaishnaw. Speaking at a media briefing in Bengaluru, Vaishnaw highlighted the government’s commitment to boosting the semiconductor industry through strategic investments and policy initiatives.
A significant step in this direction is the allocation of ₹334 crore to the Indian Institute of Science (IISc), Bengaluru, for advanced research in gallium nitride (GaN) technology. GaN is a crucial semiconductor material widely used in telecommunications and power applications. The interdisciplinary research team at IISc has already developed India’s first e-mode GaN power transistor, showcasing performance on par with leading global benchmarks.
Additionally, Tata Electronics, in collaboration with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC), is setting up India’s first semiconductor fabrication plant in Dholera, Gujarat. To further strengthen domestic manufacturing, the government plans to introduce a production-linked incentive (PLI) scheme for semiconductor components.
The initiative aligns with the broader Semicon India Programme, which has an allocated budget of ₹76,000 crore to develop a robust semiconductor and display manufacturing ecosystem. India Semiconductor Mission (ISM), an independent division under Digital India Corporation, is spearheading long-term strategies for semiconductor development.
With India’s semiconductor market projected to reach $63 billion by 2026, these initiatives mark a significant milestone in positioning the country as a global semiconductor hub.
Source: Business Standard