New Delhi: India has signed a Memorandum of Understanding (MoU) to establish an Advanced Packaging Glass Core Substrate Manufacturing Facility in Odisha.
The MoU was signed between the state government of Odisha, Intel Corporation, and 3DGS Inc. USA, the Ministry of Electronics & IT said in a release on Friday.
The project, with an estimated investment of approximately USD 3.3 billion, represents one of the largest high-technology manufacturing investments in the country.
The facility is proposed to be located in the Bhubaneswar–Khurda region.
Union Minister for Electronics & IT stressed that signing of the landmark MoU is in line with the Government's vision of developing the entire ecosystem of semiconductor manufacturing in India.
He said that the entry of firms like Applied Materials Inc., Lam Research, Tokyo Electron Ltd., Merck Electronics, and signing of the MoU between Tata Electronics and Dutch multinational ASML – is a recognition of the Government’s efforts in the semiconductor sector and the trust the industry places in India.
The proposed project would be implemented in phases over a period of five-six years.
It is expected to generate more than 1,800 direct high-skilled employment opportunities while creating significant indirect employment across the broader manufacturing and technology ecosystem.
The facility will focus on advanced packaging glass core substrates, high-density interconnect substrates and associated semiconductor technologies, with Intel supporting technology know-how and process expertise.
It is expected to contribute to capability development, ecosystem growth and export-oriented manufacturing in India.
The initiative builds on the ongoing efforts under the India Semiconductor Mission to strengthen domestic manufacturing, design ecosystem and supply chain capabilities.
NE Latest: India’s LPG production hits record high of 92 TMT per day: Petroleum Ministry
India's Semiconductor Ecosystem So Far
So far, India has approved a total of ten (10) semiconductor manufacturing plants. World's major players such as Micron Technologies, Tata Electronics Private Limited, Tata Electronics Private Limited, CG Power and Industrial Solutions Limited., Kaynes Technology India Limited, Vama Sundari Investments (Delhi Private Limited (VSIPL), 3D Glass Solutions Inc, SiCSem Private Limited, Continental Device India Private Limited (CDIL), and Advanced System in Package Technologies Private Limited have stated working on their respective projects.
The foundation of this growth was laid with the approval of India Semiconductor Mission 1.0 by the Union Cabinet in December 2021. The Mission is supported by an incentive framework of ₹76,000 crore, offering fiscal support of up to 50 per cent for silicon fabs, compound semiconductor facilities, assembly and testing units, and chip design.
As of December 2025, 10 projects with a total investment of ₹1.60 lakh crore have been approved across 6 states.
Most Clicked: Will oil prices cool down soon? US Treasury Secretary shares outlook
These include silicon fabrication units, silicon carbide fabs, advanced and memory packaging facilities, and specialised assembly and testing infrastructure. Together, they are shaping a resilient domestic semiconductor ecosystem.
As per industry estimates, the size of the Indian semiconductor market was about $38 Bn in 2023, $45-$50 billion in 2024-2025 and is expected to reach $100-$110 Bn by 2030.
The Union Budget 2026–27 marked a decisive moment for India’s technology ambitions with the announcement of India Semiconductor Mission 2.0. India Semiconductor Mission (ISM) 2.0 will focus on producing semiconductor equipment and materials in India, designing full stack Indian semiconductor intellectual property, and fortifying both domestic and global supply chains.
NE Latest: India’s silicon valley set for leadership change as DK Shivakumar emerges CM face
A provision of Rs. 1,000 crore has been made for ISM 2.0 for FY 2026–27, with a strong emphasis on industry led research and training centres to drive technology development and create a future ready skilled workforce.
Ends.
Comments (0)
Be the first to comment!