Second phase of semiconductor mission to focus on component, raw material companies: Ashwini Vaishnaw

In Semicon 2.0, the government will also focus on increasing the availability of raw materials.

The Union government is preparing to launch the second phase of the India Semiconductor Mission, which will expand efforts beyond semiconductor fabrication and chip packaging units to include component companies, raw material suppliers and other key players in the ecosystem, Electronics and Information Technology Minister Ashwini Vaishnaw said.

The introduction of the second phase is expected to take three to four months.

"We are formulating Semicon 2.0, which will be a much broader version of the first phase, aimed at building the entire ecosystem," Vaishnaw stated at the Semicon India industry conference in Greater Noida.

In Semicon 2.0, the government will also focus on increasing the availability of raw materials.

The IT ministry plans to present the cabinet with some of the new proposals and a modernization plan for the Semiconductor Laboratory in Mohali soon.

Vaishnaw highlighted that the industry has already formed partnerships with academia, noting that 250 chemicals and gases are required as inputs for semiconductor production.

He added that the focus will be on developing the entire ecosystem, including equipment, specialized materials, and specialized gases and chemicals.

The growing semiconductor industry in India, he said, will further deepen this mission, positioning the country as a global leader in technology-driven solutions.

Vaishnaw highlighted the rapid progress achieved through the Semiconductor Mission’s first phase, noting that five semiconductor units have already been approved.

“Construction is underway at Micron’s unit, and work has begun on the Morigaon Tata unit, with more projects set to start soon. Securing permissions at a record pace has set a new global benchmark,” he said.

The Union Minister said that 113 universities, academic institutions, and R&D organizations have integrated semiconductor-focused courses, designed in partnership with industry leaders to ensure relevance to real-world needs.

“Programs such as LAM Research’s Semiverse, currently running across 74 universities, have trained over 2,600 students this year alone, with plans to scale massively in the coming years. Additionally, AMD’s global design center in Bengaluru has opened with 5,000 engineers, with further expansion on the horizon,” he said.

The establishment of Applied Materials’ India Validation Center in Bengaluru, employing 200 engineers, will also play a vital role in supporting the development of fabs and Assembly, Test, Marking, and Packaging (ATMP) units in India, he added.

India’s existing strength in semiconductor design is a critical focus of the Semiconductor India Program, with over 300,000 engineers already working in design across various companies, the minister said.

“Of these, 52,000 engineers are engaged in leading-edge, complex chip designs," Vaishnaw added while sharing that 13 design ecosystem partners have received financial assistance through the semiconductor program, with four already attracting venture capital interest and two securing funding from VC businesses.