One of the three bidders for central government incentives to establish semiconductor fabrication facilities, Singapore-based IGSS Ventures, has selected Tamil Nadu as the location of its facility.
The state government said on Friday that an “MoU was signed today between IGSS Ventures Pvt Ltd and the Tamil Nadu Guidance Bureau to set up a high-tech semiconductor park…”
A semiconductor fab would be housed at nine important sites, including two sites close to Chennai, according to the state’s guidance department.
The fab, according to the statement, will produce wafers with sizes ranging from 28 nanometers (nm), 45 nm, and 65 nm. It will also house semiconductor circuit designers, material suppliers, equipment suppliers, and participants in outsourced semiconductor assembly and test (OSATs), according to the statement.
The state government “accords the highest priority to the development of semiconductor manufacturing in the State. The State is traditionally strong in the automobile and auto components sector and emerging in electronics which have backward linkages with fab, which makes the State an ideal location for a fab unit in India,” said Pooja Kulkarni, managing director, and chief executive, guidance department, in a statement.
1,500 employment will be created as a result of the five-year, Rs 25,600 crore investment.
“The consortium believes that a differentiation strategy which offers both mainstream and emerging niche technologies with Tier 1 foundry capabilities and cost competitiveness will enable India to become a global leader in selective semiconductor technologies besides offering mainstream solutions in the technology nodes,” founder and group CEO Raj Kumar said in a statement.
IGSS Chooses Tamil Nadu for its INR 25,000 Crore semiconductor park
A group of businesses with specialized skills in establishing a top-notch semiconductor foundry make up IGSS. The partnership is a candidate for the Indian Semiconductor Mission and plans to build a semiconductor manufacturing facility called Project Suria.
The second state to secure a semiconductor facility is now Tamil Nadu.
After the ISMC consortium selected a water-rich site in Mysuru for its production, Karnataka was the first to go. The joint venture between Vedanta and Foxconn is still looking for a location to build its plant.
The Union Cabinet authorized a Rs 76,000 crore incentive program in December of last year to support semiconductor, display manufacturing, and fabrication companies in India. Plans for the incentives include manufacturing facilities for silicon photonics, compound semiconductors, display fabrication, packaging, and silicon semiconductors.