Tamil Nadu Launches Semiconductor Design Scheme and Centres of Excellence
Photo Credit: @TRBRajaa
In a major step to strengthen its semiconductor ecosystem, the Tamil Nadu government has approved the Semiconductor Design Promotion Scheme under the ₹500-crore Tamil Nadu Semiconductor Mission 2030 (TNSM 2030). The initiative, announced in the state Budget 2025, will provide subsidies and prototyping grants to fabless design firms, giving them crucial early-stage support to accelerate innovation and product development.
To complement this scheme, the government has launched Centres of Excellence (CoE) under the Tamil Nadu Industrial Development Corporation (TIDCO) through public-private partnerships. These centres will serve as hubs for advanced research, testing, and training, helping Tamil Nadu establish itself as a design-led innovation hub in the semiconductor industry. A workforce development programme will also train 1,000 engineering students through platforms such as the India Semiconductor Workforce Development Programme (ISWDP). Selected candidates will receive sponsorship to pursue specialised training in leading institutions in India and abroad.
Industries Minister TRB Rajaa stated that the schemes reflect the government’s vision to build a self-reliant semiconductor ecosystem. By supporting design firms with subsidies and creating CoEs that foster collaboration between academia and industry, the state is laying the foundation for “Product Nation TN,” an ambition to position Tamil Nadu as a global hub for technology-driven products and solutions.
The TNSM 2030 framework is built on five core pillars:
- Semiconductor Design Promotion Scheme.
- Design and testing infrastructure.
- Centres of Excellence set up as for-profit special purpose vehicles.
- Semiconductor equipment manufacturing parks.
- Small-scale production-grade fabrication facilities with skilling and talent development.
Industries Secretary V Arun Roy noted that these initiatives form a complete blueprint for a self-sustaining semiconductor ecosystem. The mission integrates investment, infrastructure, R&D, and talent development, aiming to generate jobs, attract investment, and boost innovation across Tamil Nadu.
TNSM 2030 will focus on four key priorities. These include supporting fabless design and packaging firms, promoting semiconductor equipment manufacturing, investing in breakthrough research, and developing a globally competitive workforce. Two semiconductor equipment manufacturing parks are also being developed in Sulur and Palladam in Coimbatore. These parks will be spread across 100 acres each and will encourage advanced machinery production.
Adding further strength, Tamil Nadu has announced a “School of Semiconductor” initiative. This includes setting up a small-scale production-grade fab in partnership with IIT, industry associations, and private partners. The facility will serve as an R&D and prototyping hub, while also upskilling over 4,500 technicians in fabrication, testing, and packaging.
With these measures, Tamil Nadu is positioning itself as one of India’s leading semiconductor destinations, fostering a complete value chain from design to manufacturing and talent development.
Source: Business Standard
