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New Delhi, 15 July 2026: In the era of modern technology, India is now rapidly moving towards becoming the new center of the world in the production of ‘semiconductor chips’ which are considered the heart of smartphones, electric vehicles, defense equipment and satellite technology. Learning from the disruptions created in the global supply chain during the COVID-19 pandemic, the Indian government is gearing up to make the country technologically self-reliant. After the grand success of ‘Semicon India Program 1.0’, which was launched in December 2021 with a budget of Rs.76,000 crore, the government is now going to make the entire semiconductor value chain more comprehensive and globally competitive through ‘Semicon India Program 2.0’.

Eleven years of extraordinary growth journey of electronics manufacturing

India’s rise as a semiconductor hub is no accident, but the result of reform measures taken in the electronics sector in the last decade. Policies like National Policy on Electronics, PLI Scheme and Special Component Schemes have brought a big change in the Indian ecosystem. In the last eleven years, electronics production in India has increased by 7 times, while in the same period, the production of mobile phones from the country has increased by a record-breaking 32 times and its exports by an astonishing 165 times. Today, India is the second largest mobile phone producer globally, providing a very strong local production base for the future growth of the semiconductor sector.

Creation of large scale employment and new model of women empowerment

Electronics manufacturing sector is not limited only to the development of technology, but has also become a major medium for the economic and social upliftment of the country. Due to the rapid expansion of this sector, approximately 25 lakh direct and indirect employment opportunities have been created in the last decade. It is noteworthy that the share of women in the electronics manufacturing workforce is approximately 30%. Especially in the mobile manufacturing sector, which provides livelihood to approximately 12 lakh people in the country, the proportion of women as direct workforce has been recorded as high as 70%, which shows the active participation of women in Indian industrial development.

Projects approved in 6 states including Gujarat, progressive states become leaders

Various progressive states of India are playing a leading role in bringing semiconductor revolution in the country. Currently, the Central Government has given green signal to 12 semiconductor projects across the country, in which states like Gujarat, Uttar Pradesh, Assam, Punjab, Odisha and Andhra Pradesh are leading. Among these, three big ambitious lineup facilities like Micron ATMP, Keynes Semicon and CG Power OSAT have also started production on commercial scale. While there is a strong possibility that the other two production plants will become operational by the end of the current year, which will take India’s local production capacity to new heights.

A new era of global dominance and global partnership in chip design

Along with the physical production of semiconductors, India is also becoming a global leader in the field of its core design. Currently, approximately 20% of the total semiconductor design talent in the world i.e. one out of every five engineers is working in India. 24 chip design projects have been approved under the government’s ‘Design Linked Incentive’ (DLI) scheme, while young students have self-designed 175 semiconductor chips for the automotive, healthcare, AI and telecom sectors. Under the ‘Chips to Startup’ program, more than 68,000 students are being given special training by providing necessary engineering equipment to 320 organizations for future needs. On the other hand, India has signed technological agreements with countries like America, Japan, Singapore and Germany, under which globally established companies like Applied Materials and AMD are increasing investment in India.

SEMICON India Program 2.0: Roadmap to the future for a complete ecosystem

After the strong success of Semicon India 1.0, now the government’s focus is not limited to just chip manufacturing factories, but to develop the entire value chain in the country. For this purpose, under Semicon India Program 2.0, special emphasis is being laid on advanced chip design, localization of semiconductor equipment and essential raw materials, high-tech fabrication facilities, advanced packaging (OSAT/ATMP), and Research and Development (R&D). With transparent policies, stable business environment and strong democratic values, India is well placed to become a reliable global semiconductor partner in the times to come and a strong pillar of the dream of ‘Developed India’.

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