Semiconductors are now essential to modern technology in the era of 5G communication, electric cars, and artificial intelligence. These tiny chips are essential to all digital systems, from satellites to smartphones. India has been a consumer in this industry for many years rather than a producer, but things are quickly changing. The nation is establishing itself as a major participant in international semiconductor supply chains thanks to the government's Semicon India project.
.png)
169.1) Why semiconductor matters?
The supply chain for the $550 billion global semiconductor industry crosses continents. Chip design, fabrication (manufacturing), assembly, testing, and packaging are all steps in the process that are dominated by various countries.
Europe and the United States lead in design.
Manufacturing is dominated by South Korea (Samsung) and Taiwan (TSMC).
China, Japan, and the Netherlands are important suppliers of materials and equipment.
Up until recently, India was a peripheral nation with a strong software industry but no capabilities for producing chips. The worldwide system's vulnerability was exposed by the COVID-19 pandemic and the ensuing chip shortages, which drove nations to diversify their supply lines. India now has a once-in-a-generation chance as a result of this geopolitical upheaval.
169.2) Government Push: The Indian Semiconductor Mission
Among the main goals are:
1) Establishing display and semiconductor fabrication facilities in India.
2) Promoting ATMP units (Assembly, Testing, Marking, and Packaging) and compound semiconductors.
3) Cultivating design talent via specialised training programs and colleges.
4) Promoting R&D collaborations with global leaders in technology.
169.3) Major Investments and Partnerships
1) In order to establish an assembly and testing plant in Gujarat, Micron Technology (U.S.) announced a $2.75 billion investment.
2) In Gujarat and Tamil Nadu, Tata Electronics intends to construct chip production and packaging facilities.
3) Foxconn is still looking into standalone semiconductor manufacturing options in India after splitting with Vedanta.
4) To facilitate cutting-edge chip research, ISRO and SCL (Semiconductor Laboratory) in Chandigarh are being renovated.
With these investments, India will become a manufacturing and design hub in addition to a market in the global semiconductor supply chain.
169.4) India's Strengths: Design and Talent
IoT solutions and software-defined radios are two specialised chip design fields where Indian entrepreneurs Saankhya Labs and MosChip are leading the way.
In order to ensure long-term viability, the government's Chips to Startup (C2S) initiative seeks to train 85,000 engineers in semiconductor design and manufacture.
169.5) Global Context and Strategic Relevance
This stance is further reinforced by India's involvement in the Quad Semiconductor Supply Chain Initiative. India's economic and strategic objectives are well aligned with the initiative's promotion of transparent, secure, and sustainable chip supply networks.
169.6) Challenges
1) High Capital Costs: It takes billions of dollars and sophisticated infrastructure (cleanrooms, power, and water) to build a fab.
2) Barriers to Technology Transfer: Sensitive technologies that are under the jurisdiction of a small number of countries are used in top-tier production nodes (below 10nm).
3) Gaps in the supply chain: India continues to rely on imports for fabrication tools and raw materials.
4) Talent Shortage: Expertise in fab operations is still growing, despite the abundance of design skills.
5) Policy Consistency: To draw in investors, long-term clarity and expedited approval procedures are essential.
169.7) Opportunities for India's Future
1) Chip Assembly & Testing: This market is perfect for India's industrial base because entrance costs are lower.
2) Design Leadership: Making use of India's software know-how for designing IoT chips and next-generation AI.
3) Collaborative R&D: To speed up capability building, joint partnerships with American, European, and Japanese companies are used.
Furthermore, semiconductor manufacturing is a key component of India's technological sovereignty and is in line with Make in India, Atmanirbhar Bharat, and Digital India.
169.8) Conclusion
In a fitting statement during the Semicon India 2024 conference, Prime Minister Modi
"India wants to become a force that strengthens the semiconductor supply chain, not just a participant in it."
India may soon go from being a chip consumer to a global co-creator of technology if it maintains its current pace.
Team Yuva Aaveg-
Adarsh Tiwari
🌟 Join Yuva Aaveg! 🌟
A vibrant community dedicated to empowering youth with the latest insights, discussions, and updates on topics that matter. Connect with like-minded individuals, share ideas, and stay inspired to make a difference.
📲 Join us on WhatsApp and Telegram for exclusive updates and engaging conversations!
No comments:
Post a Comment
Please give your feedback and help us to give you best possible content!!