According to senior Vedanta semiconductor business officials speaking to Business Today, the Vedanta-Foxconn joint venture for semiconductor production has now settled on a technical partner and has access to high-volume manufacturing-grade technology.
All about Vedanta and Foxconn Deal!
A financial incentive worth ₹76,000 crores has been proposed by the Indian government to encourage the establishment of semiconductor and display production there. It was a need to have a manufacturer of license-grade semiconductor technology with appropriate expertise in chip fabrication in order for the project to be approved and to be eligible for the semiconductor incentive.
Vedanta-Foxconn JV reportedly complied with a request from the India Semiconductor Mission for more information about the technology partner. Foxconn is responsible for providing the technology partner in the Vedanta-Foxconn joint venture.
Former Intel executive and new CEO of Vedanta-Foxconn Semiconductors Limited David Reed recently remarked, “We do have now access to a manufacturable quality, high volume technology. We have access to all the necessary documentation and design IP, which can aid in industrial and, in particular, automotive applications. What we can’t say is who it is. Nonetheless, we have begun the transfer procedure.”
Only recently, Reed spent two weeks in Taiwan to look over everything in person. He told that the technology was “real deal” high-volume 40-nanometer production-grade. Hebbar acknowledges the government as the most important stakeholder and says the government is performing its due diligence by asking the appropriate questions, waiting for the proper answers, and then taking action.
Hebbar highlighted the time it would take for the project to receive permission, saying, “Timeline-wise, this is not a fire project. We’re talking about a ten- to fifteen-year commitment here. Even after 30 years of effort, China has yet to master the semiconductor industry. When we eventually take charge, and we will, we must act swiftly. That’s why our efforts span so many fronts. We’re not holding back until we get the go-ahead; rather, we’re making sure to cover all bases and get things moving as soon as possible. If the subsidy is granted, it will show the world that it is necessary, and the first business will set a precedent for others to follow.”
Vedanta representatives anticipate hearing back from India Semiconductor Mission over the next few months as the organization reviews the application. Vedanta has already chosen Gujrat, the home state of Prime Minister Narendra Modi, to locate its semiconductor and display fab, despite the fact that the India Semiconductor Mission has not yet approved the proposal.