Prime minister Narendra Modi's recent announcement in August marks a historical turning point for India’s tech world and its journey. As per his announcement, India’s first domestically manufactured semiconductor chips will be available by the end of 2025, a powerful step towards making India atmanirbhar (Self-reliant). This is an outcome of years of planning done by the government and marks a remarkable shift from India as a major consumer of electronics to becoming a producer and innovator in the global chip market.
Significance of Made-in-India Semiconductor Chips
Over decades, India was dependent on the importation of chips and failed to seize the opportunities of the past to develop its own semiconductor industry. Speaking at The Economic Times World Leaders Forum, PM Modi stated the same saying, “We all know that semiconductor manufacturing could have started in India 50–60 years ago, but India missed that too, and the same thing continued for many years to come.” He claimed that the situation is changing with a government-supported strategic plan.” Today we have changed this situation. Semiconductor-related factories have started coming up in India,” He added. As per PM Modi, the focus is on building strong local manufacturing and shifting to self-reliance, which will contribute to the development of electronics, telecommunication, and other businesses similar to it.
Key Facts About India's Semiconductor Chip Launch 2025
- The chip will have a technology of between 28nm and 90nm, which is applicable in cars, consumer gadgets, telecom and machines.
- The Semicon India Mission supports the manufacturing programme, which has a mind-blowing budget of 76,000 crore and 10 additional projects in the pipeline.
- It will have modern packaging facilities, assembly facilities, and new state-of-the-art fabrication facilities, some capable of producing more than nine crore chips per year.
- The semiconductor push will generate thousands of new jobs and develop 84000+ skilled manpower, although more than 1.6 lakh crore has already been invested.
Government Support and Policy Changes
- Financial assistance of up to 50 percent is provided by the government in the construction of chip factories and display units.
- The industry has been enhanced, with organisations such as AICTE introducing special courses and training to students in chip design.
- India is also establishing new alliances with nations like the US, Japan, Singapore and the EU, importing highly sophisticated knowledge and technology.
India 6G development
The government is not only concentrating on India’s semiconductors Mission, it is also developing its own 6G telecom network under the Made-in-India mission, which is expected to roll out in 2030. As per PM Modi’s semiconductor announcement 2025, major institutes are starting to develop research laboratories and innovation centres, hoping to make the next generation of chips locally produced.
One of the Major Steps is the Strategic Geographical Diffusion
New production plants are currently being set up in Odisha, Assam, Andhra Pradesh, Punjab, and Gujarat. The plant in Odisha in collaboration with Clas-SiC Wafer Fab Ltd. in the UK will manufacture the first commercial compound semiconductor chip in the country, and the assembly, testing, and packaging ecosystem is headed by Tata Electronics and Micron in Assam and Gujarat. The industry will thus generate tens of thousands of direct and indirect jobs, giving skill development and growth opportunities to Indian youth, and engineers.
By 2025, India will get the first Made-in-India chip in a local product and this will help decrease the reliance on foreign technology and increase exports. The government’s dedicated policies, funding, and international alliances are creating a strong foundation for sustained growth in IT and electronics. As a 6G network is being developed in parallel, India is demonstrating to the world that it is capable of keeping pace and that it can set the pace in the future.
Thus, this mission is set to place India on the map of the tech world not only as a consumer but as a producer and soon a leader, creating smart jobs and providing convenient and easily understandable technology to all people across the globe.
PM Narendra Modi announced India’s first semiconductor chip to be available by the end of 2025
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