As Micron Technology broke ground on its $2.75 billion chip assembly and testing facility in India, Union IT Minister Ashwini Vaishnaw said the country has begun its journey to become a semiconductor hub.
Assuring that India will soon need 5 lakh crore chips to meet the growing demand, the minister said that Micron Technology has already begun construction on its plant in three months after Prime Minister Narendra Modi met Sanjay Mehrotra, the company’s President and CEO in the US.
With government support, Micron will invest up to $825 million in building a semiconductor assembly and test facility in India.
Over the next five years, the combined investment of $2.75 billion is expected to create around 5,000 direct jobs and 15,000 community jobs.
According to Rajeev Chandrasekhar, Union Minister of State for Electronics and IT, it is an historic and epic moment for a country that has missed several opportunities over the last 70 years.
The last nine to ten years have seen tremendous progress. It is certainly a very important milestone and I have absolutely no doubt that this Micron’s state-of-the-art facility will be a beacon to investors, other manufacturers and participants in the global semiconductor ecosystem,” Chandrasekhar said.
Within 18 months, the company will commission its Assembly, Test, Marking and Packaging (ATMP) facility at Sanand GIDC-II industrial estate on 93 acres. The facility will focus on converting wafers into Ball Grid Array (BGA) – integrated circuit packages, memory modules and solid-state drives.
In July, Prime Minister Narendra Modi promised 50 percent financial assistance to semiconductor manufacturers.
“We are continuously reforming our policy to accelerate the growth of the semiconductor sector in the country,” he said at SemiconIndia 2023 in Gandhinagar.