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Tata and Applied Materials deepen India’s semiconductor expansion plans
India wants to build more of the technology used to make computer chips.
Tata Electronics signed agreements with seven companies to help create this industry.
Fujifilm plans to spend ₹800 crore on a materials plant near Tata’s chip factory.
Applied Materials said it will invest $5 billion in India over 10 years.
The money will support research, suppliers and worker training.
India says its newer semiconductor program has attracted $11–12 billion in commitments.
Five earlier projects have started making money, but India’s first chip factory is not expected to operate until at least 2028.
The government also wants more chip-design startups and local makers of equipment, materials and chemicals.
Tata Electronics signed seven semiconductor ecosystem agreements, including with Nexperia and Fujifilm.
Fujifilm committed ₹800 crore for a materials plant near Tata’s Gujarat chip fab.
Applied Materials pledged $5 billion over 10 years for Indian research, supply chains and talent.
India’s Semicon 2.0 has attracted reported investment commitments of $11–12 billion.
Five of 12 Semicon 1.0 projects have begun commercial production, all in testing, packaging or assembly.
- Who
- Tata Electronics, Applied Materials, Fujifilm, Nexperia, the Indian government and other semiconductor companies.
- What
- Companies announced agreements and investment commitments to expand India’s semiconductor research, manufacturing and supply-chain ecosystem.
- Where
- India, including Tata Electronics’ planned chip facility in Dholera, Gujarat.
- When
- The announcements were made on the first day of Semicon India 2026; Applied Materials’ investment will occur over 10 years.
- Why
- The initiatives aim to build domestic semiconductor capabilities, attract investment, develop talent and strengthen global supply chains.
Key facts
- Applied Materials commitment
- $5 billion over 10 years in India.
- Reported Semicon 2.0 commitments
- $11–12 billion, or about ₹1 trillion, according to Ashwini Vaishnaw.
- Tata Electronics agreements
- Seven memoranda of understanding were signed with semiconductor-related companies.
- Fujifilm investment
- ₹800 crore for a materials plant alongside Tata Electronics’ chip fabrication unit in Dholera, Gujarat.
- Earlier project progress
- Five of 12 projects receiving Semicon 1.0 incentives have begun commercial production.
- Tata chip fab timeline
- India’s first chip fabrication plant, being built by Tata Electronics, is expected to take until at least 2028 to become operational.
- Semicon 2.0 startup target
- The government aims to support at least 200 chip-design startups and companies across the semiconductor ecosystem.
Quotes
Ashwini Vaishnaw
India’s Union minister for electronics and information technology
“Semicon 2.0 is a clear signal that policy intends to work with Indian and global industry to build a viable semiconductor base that extends well beyond design, into machines, materials, packaging, and testing.”
livemint.com
“When a country like ours succeeds in a critical industry, it strengthens the global supply chain—a fact that has become even more significant at a time when supply chains are being weaponized.”
livemint.com
Sources
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