In a significant step towards bolstering India's semiconductor manufacturing capabilities, a consortium comprising Tata Semiconductor Manufacturing Pvt. Ltd, Cyient Semiconductors Pvt. Ltd, and Applied Materials' Singapore subsidiary has secured a ₹4,500 crore mandate to modernize the Semi-Conductor Laboratory (SCL) in Mohali. This project, spearheaded by the Ministry of Electronics and IT and funded through the India Semiconductor Mission, aims to upgrade SCL Mohali, enabling it to produce more advanced industrial chips ranging from 28-65 nm.
The modernization of SCL Mohali is expected to significantly reduce India's reliance on imports for critical sector chips, especially those used in power and energy. The upgrade will pave the way for the production of more sophisticated chips, crucial for various industries, and contribute to the nation's technological advancement.
Tata's involvement marks a significant milestone, given their recent strides in establishing India's first semiconductor fabrication plant in Dholera, Gujarat. This new fab is projected to produce over 50,000 wafers per month, addressing the country's increasing demand for chips across sectors like AI and electric vehicles. Moreover, Tata is also setting up an OSAT (Outsourced Semiconductor Assembly and Test) facility in Assam, aiming to create a comprehensive semiconductor ecosystem within India.
Cyient's role in the SCL Mohali project is also noteworthy, especially considering their recent launch of Cyient Semiconductors, a fully-owned subsidiary focused on scaling Application-Specific Integrated Circuit (ASIC) turnkey solutions. Cyient Semiconductors aims to align its capabilities with the Ministry of Electronics and Information Technology's agenda to build a robust semiconductor ecosystem in India.
Applied Materials, a leading global semiconductor fabrication equipment supplier, brings its expertise to the project. The company has demonstrated its capabilities in India, including the ability to process 300-mm wafers, a first for a private industry in the country. Applied Materials is also committed to enabling large-scale chip manufacturing units in India through its support ecosystem and service capabilities.
The SCL Mohali modernization project aligns with the Indian government's ambitious plans to become a global semiconductor hub. IT Minister Ashwini Vaishnaw has expressed confidence that India will have at least 5 fabrication units in the next 5-7 years, attracting multi-billion dollar investments. The government is providing incentives and actively wooing semiconductor manufacturers to establish a strong domestic industry.
With the combined expertise of Tata, Cyient, and Applied Materials, the modernization of SCL Mohali is poised to significantly enhance India's semiconductor manufacturing capabilities and contribute to the country's technological self-reliance. This project, along with other initiatives, marks a crucial step towards India's emergence as a key player in the global semiconductor landscape.
