Tata Group and Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) have come together to lay the foundation of the first semiconductor chip plant in Gujarat’s Dholera.
According to mainstream media reports, Tata Group and PSMC aim to rollout the chip production by the end of 2026.
During an interview with Business Daily, PSMC chairman, Frank Huang, asserted that the upcoming semiconductor fabrication with Tata Group in Dholera will begin by manufacturing 28 nanometer chips.
Huang acknowledged the Tata Group’s rapid advancement in the project to develop the chip manufacturing plant.
The Tata Group has secured approximately 160 acres in Dholera to establish the nation’s first mega semiconductor fab plant, investing Rs 91,000 crore.
Government subsidies from both central and state authorities are anticipated to cover up to 70 per cent of the project expenses, making the Dholera facility India’s premier commercial semiconductor fab, a longstanding goal of the government.
The new chip manufacturing plant by Tata Electronics and PSMC can leverage around 20,000 skilled jobs. The chip plant is known to be the India’s first AI-enabled state-of-the-art Fab.
Additionally, the Tata Group is actively seeking a partnership with a Taiwanese firm for its semiconductor facility in Dholera and is reportedly in discussions with UMC Group and Powerchip Semiconductor Manufacturing Corporation, according to a report by The Economic Times.
Earlier, it was understood that India would be focusing on manufacturing 40nm chips. The chip plant is projected to have a total capacity of 50,000 wafer starts per month (WSPM).
The chips produced at the Dholera facility to focus on catering to major sectors which include: high-power computing, electric vehicles, telecom, defence, consumer electronics, automobile, and power electronics, Union Minister Ashwini Vaishnaw had said.
Besides the Dholera plant, the Tata group (Tata Semiconductor Assembly and Test, or TSAT) will set up another semiconductor plant in Morigaon(Assam) with an investment of Rs 27,000 crore. Here Tata Group aims to generate around 27,000 jobs while focusing to cater across a broad spectrum of sectors including, automotive, electronics manufacturing, telecom manufacturing, industrial manufacturing, and other semiconductor-consuming industries.
About Powerchip Semiconductor Manufacturing Corporation (PSMC)
PSMC are pivotal manufacturers of semiconductor products, PSMC typically produces memory chips and other integrated circuits. For a long time the company has made its position among the top 10 semiconductor foundry in the world. It has been primarily focusing on 12-inch and two 8-inch wafer labs comprising a total of 5 wafer labs. PSMC offers foundry services as well as design, manufacturing and test services. It was formerly known as Powerchip Semiconductor Corp. and revamped its brand name to PSMC in June 2010. Powerchip Technology Corporation was founded in 1994 and is headquartered in Hsinchu, Taiwan.
What is a 28nm Technology
The 28nm process technology has been a long-lived node across the semiconductor industry. Intially the 28nm process was used in mobile phone application processors and basebands. The wafer planar process is known to be the most economically attractive when it comes to 28nm. The 28nm Technology supports a wide range of applications, including Central Processing Units (CPUs), graphic processors (GPUs), high-speed networking chips, smart phones, application processors (APs), tablets, home entertainment, consumer electronics, automotive, and the Internet of Things.
Key Comments
Emphasizing the significance of this strategic step, Dr Randhir Thakur, CEO & MD, Tata Electronics said, “This marks a beginning of a new era for India. Tata Electronics is proud to play a prominent role in strengthening the global semiconductor ecosystem. Our partnership with PSMC provides access to a broad technology portfolio in leading edge and mature nodes including 28nm, 40nm, 55nm, 90nm & 110nm and also collaboration for high volume manufacturing. We are confident that the upcoming Fab will support our ambitions of “Make in India, For the World”. We will be able to serve our global customers’ requirements for supply chain resilience and meet the growing domestic demand.”
PSMC, which is one of Taiwan’s leading pure-play foundry companies with capabilities across logic and memory technologies, will provide access to leading-edge and mature technologies. Dr Frank Hong, Chairman, PSMC said “The Tata group is one of the most established and well-respected names in India and globally. We are very excited to enter in partnership with Tata group, that I believe will script a new era in the global semiconductor industry. Semiconductor industry presents a large and growing opportunity, and India is uniquely placed to capture this opportunity. On one end India has a large and growing domestic demand and on the other end global customers are looking at India for supply chain resilience. There could not have been better time for India to make its entry into semiconductor manufacturing industry. This partnership has the potential to redefine the contours of global semiconductor manufacturing and we are looking forward to collaboration with Tata Electronics.”
Inputs taken from TSMC | Business Standard
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