India to finalize partner for chipmaking project

India to finalize partner for chipmaking project

Summary: Partner for its semiconductor manufacturing project partly to boost national security will be announced by end-March, and fabs expected to be operational by 2014.


The Indian government will finalize its partner for the country's electronic chipmaking project by the end of the fiscal year.

According to an official involved in the project, the government is in the "advance stages" of finalizing its partner for the setting up of the wafer fab, The Times of India reported Tuesday.

The country's department of electronics and information technology also said in the presentation made before Kapil Sibal, India's communications and information technology minister, that the electronic chip making plant is likely to be operational by 2014.

The project with an estimated investment of INR 250 billion (US$4.59 billion), to set up two semiconductor wafer fabrication manufacturing facilities in the country, had been approved by India's Cabinet in April 2011, a separate report on The Economic Times noted. 

This comes after worries of rogue programs getting embedded in important chips may compromise the security of critical installations, the Economic Times report said. The government also hopes the project will improve innovation, research and development of semiconductors, and help create 28 million jobs by 2020.

A Gartner report in April last year also found India's semicondctor market to grow 20 percent year-on-year and reach revenues totaling US$9.2 billion in 2012, becoming the fastest growing market for semiconductor consumption.

Topics: Hardware, Government Asia, India

Ellyne Phneah

About Ellyne Phneah

Elly grew up on the adrenaline of crime fiction and it spurred her interest in cybercrime, privacy and the terror on the dark side of IT. At ZDNet Asia, she has made it her mission to warn readers of upcoming security threats, while also covering other tech issues.

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  • India chips

    If India makes chips anything like they make cars they should come out with a fine 286 equivalent.
    preferred user
  • Semiconductor fab startup

    It would be great to have a semiconductor fab in India, which would take around 5 years to solidify.

    In the same lines, it's worthwhile to mention about a startup in India, establishing india's first nano semiconductor fab in
    Gandhinagar named De Core Nano Semiconductors Ltd. It houses crystal growth, processing, fabrication & material characterizing of Gallium Nitride wafers and manufacturing LED's and high power devices.