India’s chip push marks a bold attempt to move beyond packaging and build a broader domestic

India's chip push marks a bold attempt to move beyond packaging and build a broader domestic

India’s growing semiconductor heft could be seen as a “threat” by established interests in the global chip value chain, and the industry must guard against cyberattacks and other disruptions from those opposed to the country’s rise, Minister for Electronics and IT, Ashwini Vaishnaw, has said.

In an interview to PTI , Mr. India is seeking to build a larger presence in the global semiconductor value chain, making the sector increasingly important to the country’s technology and manufacturing ambitions. The government has also sought to expand the ecosystem beyond chip assembly and testing to include design, equipment, materials and fabrication. India’s chip push marks a bold attempt to move beyond packaging and build a broader domestic supply chain, while attracting global companies to manufacture and develop semiconductor technologies in India.

Because india is now emerging as a country which can design and manufacture chips, “We have to continuously be watchful of the potential geopolitical risks which will arise. The Union Cabinet in July approved Semicon 2.0, with an outlay of ₹1,27,500 crore, to support chip design, semiconductor equipment and materials, fabs, advanced packaging, research and development and talent development.

Vaishnaw said he has cautioned the industry in clear terms to keep a constant vigil as India is now emerging as a country that has the capability to design and manufacture chips, a position that will “obviously” be seen as a threat by many other established interests. Obviously that will be seen as a threat by many other established players,” he said. As many countries look to India as a trusted partner and develop and manufacture their products here, the Minister said India cannot afford to take its position lightly and must stay vigilant.

“But we should not take it lightly. We should be cognizant of the risks and challenges which will come from other players.

So I have very candidly told the entire industry that be prepared for cyber attacks, be prepared for any other kinds of threats and any other kinds of disruptions that might get created by the countries who don’t like India to come up in the semiconductor value chain,” he said.