India Attracts Global Semiconductor Giants with Skilled Talent Pipeline

India’s semiconductor industry is gaining significant traction as global design companies increasingly recognize the country’s robust talent pool. Union Minister for Railways, Information & Broadcasting, and Electronics & IT, Ashwini Vaishnaw, made this announcement during the inauguration of chip design leader ARM‘s new office in Bengaluru on March 12, 2024. This development underscores the success of India’s Semiconductor Mission, which aims to cultivate a strong talent pipeline in the sector.

The minister emphasized that one of the primary objectives of the Semiconductor Mission has been to develop skills and expertise among students. “Under the semiconductor mission, one of the major targets we have taken is to develop a very deep talent pipeline, and this is reflected in the way so many global design companies are coming to India because the talent is here,” Vaishnaw stated.

The initiative currently supports 278 universities and institutions across the country, providing students with access to cutting-edge Electronic Design Automation (EDA) tools for chip design. According to Vaishnaw, students have successfully designed 28 chips to date, showcasing the confidence global semiconductor companies are placing in India’s capabilities.

In his address, Vaishnaw announced that ARM plans to design advanced chips, including two-nanometer (2nm) chips, from its new facility in Bengaluru. He commended ARM for selecting India as a hub for such pioneering work, highlighting the expanding ecosystem around semiconductor design and manufacturing. This includes suppliers of critical materials such as chemicals, gases, and substrates, who are also establishing operations in India.

As design capabilities continue to grow, numerous design-linked incentive (DLI) companies are securing funding from venture capital partners. The minister also introduced the India Deep Tech Fund, which has been launched with an initial allocation of $1 billion. This fund aims to foster innovation in sectors such as artificial intelligence, biotechnology, and semiconductors.

Looking forward, the upcoming Version 2.0 of the Semiconductor Mission will focus on developing the equipment and materials necessary for chip manufacturing, as well as design and fabrication processes. “We are working on the complete semiconductor stack—designing chips, manufacturing them, building the equipment and materials that go into making them, and developing the talent pipeline. The progress is very good, and this is just the beginning,” Vaishnaw concluded.

India’s strategic initiatives in the semiconductor sector are setting the stage for the country to emerge as a global leader in technology and innovation, attracting attention from major industry players worldwide.