India is as soon as once more attempting to take care of this risk. The federal government in December known as for expressions of curiosity (EoI) for establishing or increasing present semiconductor wafer and gadget fabrication (fab) services within the nation, and even acquisition of semiconductor fabs outdoors India.
“The EoI reveals we’re actually critical now,” V Okay Saraswat, member of the Niti Aayog, mentioned at a webinar organised final week by Instances Techies, along with the India Electronics & Semiconductor Affiliation (IESA).
Ajai Chowdhry, co-founder of HCL, mentioned that with China at our border, India must have a trusted mannequin of all parts that come into the nation. At present, quite a lot of the chips produced by Taiwan go into electronic products that China makes. And 65% of India’s huge digital imports is from China. That’s a giant safety concern.
Saraswat mentioned earlier makes an attempt by India to ascertain chip fabs failed as a result of the federal government’s coverage was to reimburse prices solely after the personal sector arrange a mission. “The nation has realised that there’s no means apart from for the federal government to make upfront investments,” he mentioned.
Raghav Gupta, funding specialist on the government-sponsored Invest India, additionally mentioned no profitable fab ecosystem has come up anyplace on this planet with out vital authorities assist. The EoI, he mentioned, would give an concept of what precisely the federal government ought to present.
Saurabh Gaur, joint secretary within the electronics & IT ministry, mentioned the EoI response has been good, however mentioned he couldn’t disclose particulars but. He mentioned India accounts for five% of worldwide semiconductor demand. The nation’s demand for 28 nm (a measure of the scale of transistors in a chip) semiconductor nodes and better ones is in extra of $25 billion. “And if a typical fab output is of say $3-4 billion, then we see house for fabs that may be prepared within the subsequent 2-3 years,” he mentioned.
However virtually each panelist, together with Gaur, indicated that India’s finest alternatives are in what are known as compound semiconductors – these made from two or extra parts, like gallium nitride, gallium arsenide, silicon carbide. These are utilized in quite a lot of rising merchandise, and these fabs value a lot much less to arrange than the standard fabs.
Satya Gupta, chairman of IESA, mentioned gallium nitride and silicon carbide are rising applied sciences the place India can catch up. “We’re not a lot behind. And we are able to use them to make India, for example, the facility provide capital of the world, construct cell chargers, laptop computer chargers, the facility models in airconditioners, photo voltaic inverters, Railways,” he mentioned. The federal government has supported a gallium nitride R&D facility at IISc, Bangalore.
Amrit Manwani, MD of Sahasra Electronics and the previous president of electronics trade affiliation ELCINA, mentioned India must be cautious in regards to the selection of fab applied sciences. “Within the reminiscence enterprise, which is a really vital phase of the semiconductor enterprise and the place we’re moving into an ATMP (meeting, check, marking and packing) in Rajasthan, folks don’t speak of something lower than 12 inch wafers,” he mentioned.
George Paul, CEO of trade affiliation MAIT, additionally emphasised the necessity to determine a set of digital merchandise that India can simply excel in and concentrate on constructing an ecosystem for these.
Manish Sharma, CEO of Panasonic India and consultant of trade chamber FICCI, mentioned it can grow to be simpler to draw giant investments if trade and authorities might discover methods to mixture part demand in an trade or throughout industries. Gaur mentioned the Indian authorities is making an attempt that by means of efforts like public procurement and India-specific requirements for merchandise.
SEMICONDUCTORS ARE STRATEGIC, WE HAVE TO BE SELF-RELIANT
When you have a look at sensors, IoT gadgets, computing gadgets, networking gadgets, for those who have a look at well being, schooling, agriculture, energy grids, railways, all over the place using semiconductors goes to be very, very excessive. It has grow to be commercially very strategic. We have now to be self-reliant
VK Saraswat, Member, Niti Aayog
If the EOI doesn’t get the proper response, then India ought to at the very least import a second hand fab. And get a 28 nm fab going. That’s the largest business requirement within the nation right this moment
Ajai Chowdhry, Co-founder, HCL
We have now obtained a really optimistic response for compound semiconductor fabs. They require one-fifth to one-tenth the funding of conventional fabs. They’re area of interest, however they’re a rising area, one the place we are able to set up an India stamp very vividly
Saurabh Gaur, Joint Secretary, Ministry of Electronics & IT
No profitable fab ecosystem has come up anyplace on this planet with out vital authorities assist
Raghav Gupta, Funding Specialist, Make investments India
The native market is extremely fragmented – multinationals have a look at their very own provide chain ecosystems globally. So, native subsidiaries (of MNCs) have to come back collectively and have a look at aggregating demand for economies of scale. That can drive giant capital expenditures
Manish Sharma, CEO, Panasonic India, & FICCI consultant
It’s good to see the federal government critically fabs. However when the wafers are manufactured, they must be put right into a packaged IC. So we have to have a downstream ecosystem. I’m hopeful that can emerge. We’re establishing a reminiscence packaging unit
Amrit Manwani, MD, Sahasra Electronics, & Previous President, ELCINA
We have to construct some `champion merchandise’. We’re among the many few nations, due to our giant inhabitants, that may create capacities which might be globally aggressive. Say, a set-top field, good meter, surveillance digital camera. They use commonplace chips that we are able to design & make right here
George Paul, CEO, MAIT
Probably the most financially viable choice is to get an IDM (built-in gadget producer, one which designs, manufactures, and sells built-in circuit merchandise) to place up a fab. We must always vigorously pursue Samsung, as a result of they have already got a $10-billion plus market in India
Satya Gupta, Chairman, IESA
