Indian Economy News

Make in India: Tata Electronics begins limited export of semiconductor chips

Tata Electronics Ltd has begun exporting semiconductor chips packaged at its Bengaluru R&D centre to partners in Japan, the US, and Europe. Simultaneously, it's gearing up to establish a chip packaging unit in Morigaon, Assam, and a US$ 119.8 million (Rs. 10 billion) chip foundry in Dholera, Gujarat. The company is finalizing the tape-out process for chips ranging from 28 to 65 nanometers. Reports indicate a strategic partnership between Tata Electronics and Tesla for global semiconductor chip sourcing, reflecting Tata's reliability as a supplier. Tesla's interest in establishing a local presence in India, potentially through joint ventures with Reliance Industries, has also been hinted at.

The Dholera chip foundry, a collaboration between Tata Group and Taiwan's Powerchip Semiconductor Manufacturing Corporation (PSMC), aims for a monthly capacity of up to 50,000 wafer starts. It plans to produce chips in leading nodes like 28 nanometers and 40 nanometers, as well as legacy nodes such as 55 nanometers, 90 nanometers, and 110 nanometers. Tata Electronics' expansion plans, revealed during the groundbreaking ceremony for its US$ 10.90 billion (Rs. 91,000 crore) chip manufacturing plant and US$ 3.23 billion (Rs. 27,000 crore) chip assembly facility in Assam, are expected to generate around 72,000 jobs over time. Expansion initiatives will be pursued after achieving initial milestones.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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