Tue, 27 Jan 2026

Tue, 27 Jan 2026 Can India be a player in the computer chip industry?

India is investing hundreds of millions of dollars in building up a computer chip industry.

* Indian companies like Tejas Networks design semiconductors, but lack manufacturing capabilities at home.
* India has 20% of global semiconductor engineers, with major chip companies having design centers there.
* The COVID-19 pandemic exposed global supply chain vulnerabilities and spurred efforts to develop India's own semiconductor industry.
* Government is leading efforts to develop a semiconductor ecosystem in India by identifying parts of the production process where it can compete.
* India is focusing on the third stage of semiconductor manufacturing: Outsourced Semiconductor Assembly and Test (Osat).
* Several companies, including Kaynes Semicon, are setting up plants for chip assembly and testing in India, with production expected to start this year.
* Indian semiconductor industry will initially focus on producing chips for cars, telecoms, and defense industries before moving to more complex technologies.
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