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India<\/strong><\/a> has taken another decisive step toward strengthening its semiconductor ecosystem as India Chip<\/strong><\/a>, a joint venture between HCL Group<\/strong><\/a> and Foxconn<\/strong><\/a>, begins construction of its semiconductor facility in Noida<\/strong>. The upcoming plant aims to process up to 20,000 wafers<\/strong> per month once fully operational in 2028, significantly boosting domestic production of display driver chips.<\/span><\/p>\n \u00a0<\/p>\n Backed by an investment of Rs 3,700 crore<\/strong>, the facility marks a major milestone in India\u2019s ambition to reduce reliance on imported semiconductors and develop a resilient, homegrown chip manufacturing supply chain.<\/span><\/p>\n \u00a0<\/p>\n The foundation stone for the project was recently laid by Narendra Modi<\/strong><\/a>, who joined the ceremony virtually. The event was also attended by Yogi Adityanath<\/strong><\/a> and Ashwini Vaishnaw<\/strong><\/a>.<\/span><\/p>\n \u00a0<\/p>\n The plant is being built near Jewar along the Yamuna Expressway in Uttar Pradesh, a region that is rapidly emerging as a key electronics and manufacturing hub.<\/span><\/p>\n \u00a0<\/p>\n The Noida plant will function as an advanced Outsourced Semiconductor Assembly and Test (OSAT) unit. Rather than fabricating chips from scratch, the facility will:<\/span><\/p>\n \u00a0<\/p>\n Assemble semiconductor components<\/span><\/p>\n Package integrated circuits<\/span><\/p>\n Test display driver chips for performance and reliability<\/span><\/p>\n \u00a0<\/p>\n The primary focus will be on display driver integrated circuits (ICs), essential components that power screens in:<\/strong><\/p>\n \u00a0<\/p>\n Smartphones<\/span><\/p>\n Televisions<\/span><\/p>\n Laptops<\/span><\/p>\n Tablets<\/span><\/p>\n Other consumer electronics<\/span><\/p>\n \u00a0<\/p>\n Display driver chips play a critical role in translating digital signals into visible images on screens, making them indispensable in today\u2019s digital-first economy.<\/span><\/p>\n \u00a0<\/p>\n Once fully operational in 2028, the India Chip OSAT plant is expected to process up to 20,000 wafers per month. This scale of production positions the facility as one of India\u2019s most significant semiconductor assembly and testing units.<\/span><\/p>\n \u00a0<\/p>\n According to company estimates:<\/strong><\/p>\n \u00a0<\/p>\n The plant could meet nearly 25% of India\u2019s domestic demand for display driver chips.<\/span><\/p>\n Approximately 20\u201330% of output may be exported to global markets.<\/span><\/p>\n \u00a0<\/p>\n Currently, India relies entirely on imports for display driver ICs. Local production is expected to reduce external dependencies while strengthening supply chain resilience.<\/span><\/p>\n \u00a0<\/p>\n India Chip has been structured as a 60:40 joint venture:<\/span><\/p>\n \u00a0<\/p>\n 60% stake<\/strong>: HCL Group<\/span><\/p>\n 40% stake<\/strong>: Foxconn<\/span><\/p>\n \u00a0<\/p>\n This partnership combines HCL\u2019s<\/strong><\/a> domestic industrial presence and technological expertise with Foxconn\u2019s<\/strong><\/a> global electronics manufacturing capabilities. The collaboration reflects a strategic alignment aimed at accelerating India\u2019s semiconductor ambitions.<\/span><\/p>\n \u00a0<\/p>\n The project comes at a time when India\u2019s electronics manufacturing sector is expanding rapidly, especially in smartphones and consumer devices. As production volumes grow, so does the demand for critical components like display driver chips.<\/span><\/p>\n \u00a0<\/p>\n By localising semiconductor assembly and testing, the India Chip facility is expected to:<\/strong><\/p>\n \u00a0<\/p>\n Reduce import dependence<\/span><\/p>\n Improve supply chain stability<\/span><\/p>\n Enhance value addition within India<\/span><\/p>\n Strengthen the country\u2019s semiconductor infrastructure<\/span><\/p>\n \u00a0<\/p>\n Beyond direct manufacturing, the plant is projected to generate over 3,500 direct and indirect jobs. It may also catalyse the development of a broader semiconductor ecosystem, including:<\/span><\/p>\n \u00a0<\/p>\n Component suppliers<\/span><\/p>\n Logistics providers<\/span><\/p>\n Testing and certification services<\/span><\/p>\n Ancillary manufacturing units<\/span><\/p>\n \u00a0<\/p>\n While chip fabrication (fab) plants often attract the most attention, OSAT units are equally critical in the semiconductor value chain. After wafers are fabricated, they must undergo assembly, packaging, and rigorous testing before integration into electronic products.<\/span><\/p>\n \u00a0<\/p>\n By establishing a domestic OSAT facility capable of high-volume processing, India strengthens a crucial stage of chip production \u2014 one that ensures performance reliability and market readiness.<\/span><\/p>\n \u00a0<\/p>\n This move signals India\u2019s intent to transition from being primarily an electronics assembly destination to a higher-value semiconductor manufacturing hub.<\/span><\/p>\n \u00a0<\/p>\n Construction of the Noida facility is now underway, with operations expected to begin in 2028. Once operational, the plant will serve both domestic and international markets, reinforcing India\u2019s position in the global semiconductor supply chain.<\/span><\/p>\n \u00a0<\/p>\n As geopolitical shifts and supply chain disruptions continue to reshape global electronics manufacturing, projects like India Chip represent foundational investments in long-term technological self-reliance.<\/span><\/p>\n \u00a0<\/p>\n The launch of construction for the India Chip factory in Noida marks a pivotal moment in India\u2019s semiconductor journey. With a planned capacity of 20,000 wafers per month, significant job creation potential, and the ability to meet a substantial portion of domestic demand for display driver chips, the project underscores India\u2019s strategic push toward self-sufficiency in high-value electronics manufacturing.<\/span><\/p>\n \u00a0<\/p>\n As the facility progresses toward its 2028 operational target, it stands as a key pillar in India\u2019s broader mission to build a robust, resilient, and globally competitive semiconductor ecosystem.<\/span><\/p>\n \u00a0<\/p>\n Latest Technology News | Updates<\/a> | Latest Electric Vehicle News | Updates<\/a> | Electronics News<\/a> | Mobile News | Updates<\/a> | Software Updates<\/a><\/p>\n \n Facebook<\/a> | Twitter<\/a> | WhatsApp Channel<\/a> | Instagram<\/a> | Telegram<\/a> | Threads<\/a> | LinkedIn<\/a> | YouTube<\/a><\/p>\n \u00a0<\/p>\n Stay informed, Stay Connected!<\/p>\n The post India Chip Begins Construction of Noida Semiconductor Plant, Targets 20,000 Wafers Per Month by 2028<\/a> appeared first on Before You Take<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" \u00a0 India has taken another decisive step toward strengthening its semiconductor ecosystem as India Chip, a joint venture between HCL Group and Foxconn, begins construction of its semiconductor facility in Noida. The upcoming plant aims to process up to 20,000 wafers per month Continue reading India Chip Begins Construction of Noida Semiconductor Plant, Targets 20,000 Wafers Per Month by 2028<\/span>Foundation Stone Laid by Prime Minister Narendra Modi<\/h2>\n
What the India Chip Facility Will Manufacture<\/h2>\n
Processing Capacity: 20,000 Wafers Per Month<\/h2>\n
Structure of the Joint Venture<\/h2>\n
Boosting India\u2019s Semiconductor Ecosystem<\/h2>\n
Strategic Importance of OSAT Facilities<\/h2>\n
Looking Ahead: Operations Targeted for 2028<\/h2>\n
Conclusion<\/h1>\n
Follow Before You Take<\/a> on:\u00a0<\/span><\/h3>\n