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India’s ₹4600 Cr Chip Projects Approved
India approves four advanced semiconductor manufacturing projects worth ₹4,600 crore, including the nation's first compound semiconductor fab.

By Indrani Priyadarshini

on August 16, 2025

In a significant move, the Union Cabinet, led by Prime Minister Narendra Modi, has approved four additional semiconductor projects under the India Semiconductor Mission (ISM). This decision marks another leap forward for the domestic chip industry. This approval brings the total count of sanctioned ISM projects to ten, with six already underway.

₹4,600 Cr Investment, Thousands of Jobs

Collectively, the four newly approved initiatives are designed to attract about ₹4,600 crore in investment and are expected to generate jobs for approximately 2,034 skilled professionals. This growth is set to accelerate electronic manufacturing and create countless ancillary roles.

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Strengthening Atmanirbhar Bharat

With rising demand across sectors like telecom, automotive, data centres, consumer electronics, and industrial systems, these projects are a critical step toward India’s self-reliance (Atmanirbhar Bharat).

What’s Being Built

1. SiCSem – Odisha

In Odisha’s Info Valley, Bhubaneswar, SiCSem Private Limited, in collaboration with the UK’s Clas-SiC Wafer Fab Ltd., will establish the country’s first commercial compound semiconductor fabrication facility for Silicon Carbide (SiC) devices. It will boast an annual output of 60,000 wafers and a packaging capacity of 96 million units. These advanced products are intended for applications in defence, electric vehicles, railways, fast chargers, data centres, household appliances, and solar inverters.

2. 3D Glass Solutions, Inc. – Odisha

Also in Bhubaneswar’s Info Valley, 3D Glass Solutions Inc. will set up India’s most advanced packaging and embedded glass substrate facility. This sophisticated unit will include glass interposers with passives, silicon bridges, and 3D heterogeneous integration modules. With an estimated capacity of 69,600 glass panel substrates, 50 million assembled units, and 13,200 3DHI modules annually, it will support sectors like defence, AI, high-performance computing, RF and automotive, photonics, and co-packaged optics.

3. ASIP – Andhra Pradesh

Advanced System in Package Technologies (ASIP), in partnership with South Korea’s APACT Co. Ltd., will launch a semiconductor unit in Andhra Pradesh. The plant will focus on producing semiconductors used in mobile phones, set-top boxes, automobiles, and related electronics, with a capacity of 96 million units per year.

4. CDIL Expansion – Punjab

In Mohali, Punjab, Continental Device India Limited (CDIL) will scale up its semiconductor facility. This brownfield expansion targets high-power discrete semiconductors—like MOSFETs, IGBTs, Schottky diodes, and transistors—in both silicon and silicon carbide. The upgraded unit will have an annual capacity of approximately 158.38 million units, catering to EVs, renewable energy systems, industrial power conversions, communication infrastructure, and more.

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Assembly Line of Innovation

These four initiatives provide a powerful stimulus for India's semiconductor capabilities—encompassing the country’s inaugural compound fab and a top-tier glass-substrate packaging unit. Built alongside are ever-expanding chip design skills, supported by government-backed design infrastructure across 278 academic institutions and 72 startups. Notably, more than 60,000 students have already benefited from relevant talent development programmes.