Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines

Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines

SUMMARY

The proposed R&D wing will operate separately from other research activities that have long project timelines

Based on the scheme's viability, this dedicated R&D centre could even evolve into an independent entity

Last year an expert panel recommended the establishment of a semiconductor research centre to Meity with an initial corpus of $8 Bn (INR 66,500 Cr) over the next five years

The Centre is mulling to build a dedicated research and development unit under the proposed India Semiconductor Research Centre (ISRC).

This facility will focus on semiconductor research that can “quickly go into industrial production”, ET reported.

“There is a recognised need for both private and public sectors, particularly in the semiconductor domain, to employ dedicated R&D professionals full-time. The goal is to foster an ecosystem driven by intellectual property rights (IPR) in manufacturing. We are considering structures where R&D efforts can be co-funded or conducted in public-private partnership (PPP) mode,” the report said, citing government officials.

The proposed R&D wing will operate separately from other research activities that have long project timelines. Its focus will be on developing the next generation of semiconductors, alongside advancements in packaging, systems technologies, processes and materials.

Based on the scheme’s viability, this dedicated R&D centre could even evolve into an independent entity, the report added.

The detailed plans for the initiative are likely to be revealed after the general elections in June. 

It is pertinent to note that last year an expert panel recommended the establishment of a semiconductor research centre to MeitY (The Ministry of Electronics and Information Technology) with an initial corpus of $8 Bn (INR 66,500 Cr) over the next five years.

ISRC is aimed at developing India’s capabilities in the semiconductor research space. Modelled on the lines of global institutions such as IMEC and the MIT Micro-Electronic Labs, it focuses on semiconductor processes, advanced silicon solutions, packaging R&D, compound/ power semiconductor and chip design.

India’s semiconductor ecosystem has gained significant traction in recent times. Earlier this year, the Union Cabinet approved three semiconductor proposals from private firms, totalling INR 1.26 Lakh Cr in investment. 

Additionally, US-based semiconductor giant Micron is in the process of establishing an ATMP plant in Gujarat, with an investment exceeding INR 22,000 Cr.

India has also inked agreements with various global semiconductor manufacturing giants to set up manufacturing units domestically. Moreover, companies like Advanced Micro Devices (AMD), Micron, and Qualcomm are also investing in India.

In 2021, the government introduced Semicon India program, allocating INR 76,000 Cr to provide incentive support to companies engaged in silicon semiconductor fabs, display fabs, compound semiconductors/sensors fabs, and semiconductor packaging and design.

Subsequently, the India Semiconductor Mission (ISM) was launched in 2022 to cultivate a robust semiconductor and display ecosystem, aiming to position India as a prominent global hub for electronics manufacturing and design.

The semiconductor industry in India is projected to reach a market value of $55 Bn by 2026, driven by rising demand for smartphones, automobiles, and data storage. 

Note: We at Inc42 take our ethics very seriously. More information about it can be found here.

You have reached your limit of free stories
Become An Inc42 Plus Member

Become a Startup Insider in 2024 with Inc42 Plus. Join our exclusive community of 10,000+ founders, investors & operators and stay ahead in India’s startup & business economy.

2 YEAR PLAN
₹19999
₹7999
₹333/Month
Unlock 60% OFF
Cancel Anytime
1 YEAR PLAN
₹9999
₹4999
₹416/Month
Unlock 50% OFF
Cancel Anytime
Already A Member?
Discover Startups & Business Models

Unleash your potential by exploring unlimited articles, trackers, and playbooks. Identify the hottest startup deals, supercharge your innovation projects, and stay updated with expert curation.

Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines-Inc42 Media
How-To’s on Starting & Scaling Up

Empower yourself with comprehensive playbooks, expert analysis, and invaluable insights. Learn to validate ideas, acquire customers, secure funding, and navigate the journey to startup success.

Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines-Inc42 Media
Identify Trends & New Markets

Access 75+ in-depth reports on frontier industries. Gain exclusive market intelligence, understand market landscapes, and decode emerging trends to make informed decisions.

Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines-Inc42 Media
Track & Decode the Investment Landscape

Stay ahead with startup and funding trackers. Analyse investment strategies, profile successful investors, and keep track of upcoming funds, accelerators, and more.

Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines-Inc42 Media
Govt Mulls Separate Semiconductor R&D Unit With Short Project Timelines-Inc42 Media
You’re in Good company