India’s Semiconductor Leap: From 28 nm Foundations to 7 nm Ambitions

India is fast-tracking its semiconductor mission, with the government now aiming to move beyond its initial 28 nanometer (nm) fabrication plants and focusing on the production of 5–7 nm chips. This bold step reflects the country’s ambition to establish itself as a global leader in semiconductor technology and reduce reliance on imports. According to Abhishek Singh, Additional Secretary at the Ministry of Electronics and Information Technology (MeitY), the upcoming Semiconductor Mission 2.0 will play a decisive role in taking India’s chip ecosystem into its next phase of development.

Globally, IBM has teamed up with Japan’s Rapidus Corporation along with Toyota, Denso and NEC Corporation to establish a research lab in Japan, targeting sub-2 nm chip fabrication | Moneycontrol

Building the Foundations with 28 nm and ATMP Units

Since 2021, India’s semiconductor journey has largely revolved around establishing 28 nm fabs and Assembly, Testing, Marking, and Packaging (ATMP) units. Collaborations with major players such as Tata have led to projects in Gujarat, Assam, and Odisha, while several states are developing semiconductor hubs to anchor the country’s long-term growth. By mid-2025, the government had already approved projects worth nearly ₹1.60 lakh crore across six states, highlighting the seriousness of its commitment to building a self-reliant ecosystem.

Global Partnerships and Technology Transfers

The roadmap to achieving 7 nm manufacturing within the next five to seven years has been strengthened by collaborations with international leaders such as IBM, IMEC, and Intel. These partnerships are focused on research, design, and advanced process technologies, ensuring that India’s industry develops alongside the best in the world. Such cooperation not only enhances India’s technical capabilities but also integrates the country into global semiconductor supply chains, a critical step toward achieving long-term sustainability.

The Vision of Semiconductor Mission 2.0

The government’s proposed ISM 2.0 is expected to deepen the scope of incentives and expand support across the value chain. A strong focus is being placed on Silicon Carbide (SiC) wafer manufacturing, a technology essential for next-generation electric vehicles and high-performance electronics. The policy framework for ISM 2.0 is under preparation and is anticipated to be rolled out by the end of October, marking the start of a fresh phase of India’s semiconductor journey.

Semicon India 2025: Milestones and Announcements

At the Semicon India 2025 summit, India showcased significant progress in its chip ecosystem. The event witnessed the presentation of the first pilot-line Made-in-India chips to Prime Minister Narendra Modi, signaling a breakthrough moment. Alongside this, the launch of the Deep Tech Alliance with nearly $1 billion in funding reaffirmed the country’s intent to integrate semiconductors with emerging fields like artificial intelligence, quantum computing, and clean energy. India also inaugurated its first OSAT pilot line in Sanand, Gujarat, which has begun producing indigenous chips, while thousands of students have been trained to build a skilled workforce for the sector.

Breakthroughs in Indigenous Design and Microprocessors

India is also making significant strides in chip design and indigenous processors. ISRO recently unveiled the Vikram 3201, a space-grade microprocessor tailored for aviation and space missions. Simultaneously, Renesas Electronics India has opened new design centers in Noida and Bengaluru that will focus on 3 nm chip design capabilities, placing India on the global map for advanced semiconductor research. Moreover, the SHAKTI project by IIT Madras continues to advance open-source RISC-V processors, including the IRIS chip for space applications, highlighting the growing domestic innovation capacity.

Investments and Expanding Industrial Ecosystem

Beyond design and R&D, the government has approved multiple new projects to boost local manufacturing capacity. A joint venture between HCL and Foxconn is setting up a semiconductor facility near Jewar Airport in Uttar Pradesh, with plans to produce 20,000 wafers per month by 2027. Four additional semiconductor projects, with cumulative investments of around ₹4,600 crore, have been cleared to expand ecosystem capabilities. Meanwhile, fiscal incentives across 25 categories of electronics are under consideration, ensuring that domestic chip production meets the growing needs of consumer and industrial sectors.

The MGMM Outlook

India’s semiconductor journey is at a defining stage, moving from its 28 nm foundation toward the ambitious goal of 5–7 nm chip manufacturing. The government’s Semiconductor Mission 2.0 reflects not just an economic drive but also a strategic vision of self-reliance and technological leadership. With projects worth nearly ₹1.60 lakh crore already sanctioned and hubs emerging across multiple states, India is steadily building an ecosystem that can sustain advanced chip production. Partnerships with global leaders such as IBM, Intel, and IMEC ensure that the nation is not only catching up but also integrating itself into global semiconductor supply chains—essential for long-term competitiveness.

Equally significant is India’s progress in indigenous design and research. From ISRO’s Vikram 3201 processor to IIT Madras’ SHAKTI project and Renesas’ new 3 nm design centers, the country is strengthening its innovation pipeline. Initiatives like the Semicon India 2025 summit, the Deep Tech Alliance, and the launch of OSAT pilot lines highlight the government’s commitment to aligning semiconductors with future technologies like AI, quantum computing, and clean energy. Coupled with upcoming ventures such as the HCL–Foxconn facility near Jewar and increased fiscal incentives, India’s semiconductor push is no longer an aspiration but an unfolding reality that will define its technological sovereignty in the coming decade.

(Sources: Livemint, Moneycontrol, Economic Times)