Semiconductor Push: TCS Goes Full Throttle In Indian Chip Roll Out

Tata Group-owned Tata Consultancy Services (TCS) is reportedly working with group peer Tata Electronics to roll out first made-in-India chips by 2026.

As per Mint’s report, citing Sreenivasa Chakravarti, vice-president and global head of TCS’ digital engineering business, TCS has numerous ‘touch points’ with chip fabrication where Tata Electronics has taken the lead.

Inc42 has reached out to Chakravarti for comments on the development. The story will be updated based on his response.

“We are part of the same group as Tata Electronics, and there are leverage points that we are working on together. The two companies sit at different parts of the value chain, so we are leveraging our core expertise in what we excel at for this,” Chakravarti was quoted as saying in the report.

This follows the approval of the country’s first semiconductor fab, in February, to be set up by the Tata Group in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corp (PSMC).

Tata Semiconductor Assembly and Test Pvt Ltd (TSAT) set up a chip assembly and testing unit in Assam, alongside the first semiconductor chip from the new plant being built in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) in Gujarat’s Dholera which will be out by the end of 2026.

On this note, Tata Electronics has been building partnerships with various companies and countries abroad for semiconductor chips through the year.

For instance, Tesla has inked a strategic agreement with Tata Electronics to acquire semiconductor chips for its global operations, in April.

Also, Tata Electronics has signed a memorandum of understanding (MoU) with Tokyo Electron Limited (TEL) for semiconductor equipment infrastructure, a few days ago. 

The first chip from Assam will roll out by late 2025 or early 2026, according to the group, serving sectors including automotive, power, electronics, consumer and medical, based on the report.

“We see so many companies come to India and set up shop here in order to build technologies and services for global markets, but there is an addressable market for semiconductors in India as well,” the report quoted Chakravarti as saying. “The challenge, therefore, is to build for India, from within India.”

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