When it comes to delivering impact, often small hinges swing big doors.
In today’s world, semiconductors— which sometimes measure no more than 2 nanometers (nm)—are the backbone of modern electronics, indispensably lodged at the intersection of a wide range of industries. Given their broad applicability, countries across the globe are strategising to mitigate risks associated with over-reliance on a single supply source of semiconductor chips. This also serves to fortify national security and economic well-being, considering recent geopolitical conflicts.
Amidst these global vulnerabilities, India stands at a crossroads of opportunity.
The India advantage
India has 20 per cent of the world’s semiconductor design workforce, a rapidly evolving technology landscape and a thriving domestic market, all of which are conducive in building an indigenous semiconductor ecosystem. Government initiatives, such as the National Electronics Policy or the USD10 billion PLI scheme for semiconductor manufacturing, are also boosting India’s chipmaking aspirations. Budget 2024 further made key announcements—an increased allocation for the semiconductor ecosystem and the establishment of a USD12 billion innovation corpus to incentivise R&D. That India is strategically positioning itself to attract global semiconductor companies is loud and clear.
So where do we go from here?
While the stage is set with continuous infrastructural investments, fiscal incentives and a strengthening R&D landscape, how do we sustain the growing momentum?
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