Why in news?
In August 2025 the Union Cabinet approved ₹4,600 crore for four new semiconductor manufacturing projects in Odisha, Punjab and Andhra Pradesh under the India Semiconductor Mission (ISM). The investments underline India’s drive towards self‑reliance in chip production.
What is ISM?
Launched in 2021 by the Ministry of Electronics and Information Technology, ISM aims to build a comprehensive semiconductor and display manufacturing ecosystem in India. It provides financial incentives, design support and talent development to attract global and domestic investors.
New projects announced
- SiCSem Pvt. Ltd. (Odisha): In partnership with the UK’s Clas‑SiC Wafer Fab Ltd., this will be India’s first commercial silicon‑carbide (SiC) semiconductor facility.
- 3D Glass Solutions Inc. (Odisha): A vertically integrated unit focused on advanced packaging and embedded glass substrates using 3D heterogeneous integration.
- ASIP Technologies (Andhra Pradesh): A joint venture with South Korea’s APACT Co., Ltd. to set up an advanced semiconductor assembly and packaging plant.
- Continental Device India Pvt. Ltd. (Punjab): A brownfield expansion in Mohali to upgrade existing facilities.
Why semiconductors matter
Chips power everything from smartphones and cars to defence systems. India currently imports most of its semiconductors. Developing domestic capacity reduces dependence on foreign suppliers, creates high‑skill jobs and supports initiatives like Atmanirbhar Bharat (self‑reliant India). ISM also supports chip design startups and aims to train over 60,000 professionals.