Semicon 2.0's $13.5B fund may draw $12B proposals in India
India's chip industry just got a huge upgrade: Union Minister Ashwini Vaishnaw said investment proposals worth $12 billion are likely to come under the new scheme for chip production at the Semicon India 2026 conference.
Thanks to the government's Semicon 2.0 scheme and its $13.5 billion incentive pool, the country is aiming to ramp up local chip production and build a stronger tech ecosystem.
Firms pledge major India chip investments
Big tech names are joining in: Applied Materials is investing $5 billion over 10 years after a R&D deal with Karnataka, Lam Research is putting in ₹10,000 crore to set up a silicon component manufacturing facility in India, and Tata Electronics signed 16 agreements with vendors to support its 1.18 lakh crore investment to set up a chip manufacturing unit in Dholera, Gujarat and a chip assembly and test unit in Assam.
US and Japanese companies are also looking to partner up, while state governments play a key role in attracting these global investments. Local firms like L&T Semiconductor Technologies are set to be important players too.