India’s First Semiconductor Wafers Set for Production as Tata Backs Proven 90nm Technology

India's first semiconductor wafers will be manufactured by Tata Electronics using proven 90nm technology at its Dholera fab. Here's why mature chips remain critical for India's semiconductor ambitions.

By Samarjit Kaur

on July 17, 2026

India is moving closer to producing its first indigenously manufactured semiconductor wafers, with Tata Electronics preparing to begin fabrication using 90-nanometre (90nm) process technology at its upcoming chip plant in Dholera, Gujarat.

The move marks a major step in the country’s efforts to build an end-to-end semiconductor manufacturing ecosystem under the India Semiconductor Mission.

Also Read: Cabinet Approves ₹1.27 Lakh Crore India Semiconductor Mission 2.0 to Strengthen Chip Manufacturing Ecosystem

Why Tata is Starting with 90nm Technology

Rather than pursuing the world’s most advanced chip manufacturing processes, Tata Electronics has opted for mature 90nm technology, which continues to power a wide range of everyday products.

These chips are used in automobiles, industrial equipment, consumer electronics, networking hardware and Internet of Things (IoT) devices, where reliability and long production cycles matter more than cutting-edge performance.

Industry analysts have argued that starting with proven manufacturing processes is a pragmatic approach for countries entering semiconductor fabrication.

It helps develop manufacturing skills, establish supply chains & build confidence before moving to more advanced technologies.

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India’s First Commercial Wafer Fab Takes Shape

The Dholera fabrication plant, being built by Tata Electronics in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC), is expected to become India’s first commercial semiconductor wafer fabrication facility.

The project involves an investment of around ₹91,000 crore and will have the capacity to produce up to 50,000 wafers every month once fully operational. The facility will manufacture chips across technology nodes ranging from 28nm to 110nm, with 90nm expected to be among the early production processes.

The chips produced at the plant are expected to serve sectors including automotive, telecommunications, consumer electronics, computing, artificial intelligence (AI), data storage and industrial applications.

Also Read: UP clears Startup Policy 2026 and AI-ready Data Centre Policy to accelerate innovation and the semiconductor ecosystem

A Milestone for India’s Semiconductor Ambitions

The first wafer production will represent a significant milestone for India’s semiconductor manufacturing ambitions.

While the 90nm technology is obsolete and no longer considered leading-edge, it remains in global demand across industries that require dependable, cost-effective chips.

The project supports the government’s wider objective of reducing dependence on imported semiconductors while strengthening domestic electronics manufacturing under the Make in India initiative.

As India expands its semiconductor ecosystem, the experience gained through mature-node production is expected to lay the groundwork for more advanced chip manufacturing in the years ahead.

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