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PM Lays Foundation Stones For Fab & ATMP Investment outlay of INR 1,18,000 crores by Tata Electronics to generate nearly 50,000 direct and indirect jobs

By Shrabona Ghosh

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With an eye on making India a semiconductor hub, Prime Minister Narendra Modi addressed 'India's Techade: Chips for Viksit Bharat' program and laid the foundation stone for three semiconductor projects worth INR 1.25 lakh crores virtually. Tata Group is setting up two of these three new plants.

The facilities inaugurated today are - Semiconductor fabrication facility at the Dholera Special Investment Region (DSIR), Gujarat, Outsourced Semiconductor Assembly and Test (OSAT) facility at Morigaon, Assam and another OSAT facility at Sanand, Gujarat.

"Today is indeed a special day for the Tata Group – with the foundation stone being laid simultaneously for our projects in Dholera and Jagiroad 2,500 km apart. These semiconductor manufacturing hubs will have a lasting impact on the entire nation. The ecosystem from across the globe will mobilize to have India as their preferred semiconductor destination. We will create more than 50,000 jobs, and this is just the beginning, Chip shortages during the pandemic made us realise our dependency on the international supply chain, as a result, domestic semiconductor industry is integral to indigenous industry," said N. Chandrasekaran, Chairman, Tata Sons.

Tata Electronics' Semiconductor Fabrication Facility in Dholera, Gujarat, is being developed in collaboration with Powerchip Semiconductor Manufacturing Corporation (PSMC) of Taiwan, one of the leading global semiconductor players. With an investment of up to INR 91,000 crores, India's first AI-enabled Fab is poised to generate over 20,000 direct and indirect skilled jobs.

The new semiconductor Fab will manufacture chips for applications such as power management IC, display drivers, microcontrollers (MCU) and high-performance computing logic, addressing the growing demand in markets such as automotive, computing and data storage, wireless communication and artificial intelligence. With a manufacturing capacity of up to 50,000 wafers per month, the fab establishes India as a key supply chain partner in the global semiconductor industry.

The OSAT facility in Jagiroad, Assam, is being developed at an investment outlay of INR 27,000 crore and is expected to create over 27,000 direct and indirect jobs.

Semiconductor assembly and test is a critical part of the semiconductor value chain where wafers manufactured by semiconductor fabs are assembled or packaged and then tested before they are finally used in the desired product. The facility will focus on crucial platform technologies - Wire Bond, Flip Chip, and Integrated Systems Packaging (ISP).These technologies are critical for key applications across the global – like automotive, communications, computing and Artificial intelligence (AI).

The new facilities being developed by Tata Electronics will bring a portfolio of cutting-edge semiconductor technologies, advanced skill set and talent, and a network of semiconductor manufacturing suppliers and ecosystem partners, resulting in foundational development of indigenous semiconductor ecosystem in India. This vision for indigenous semiconductor industry is projected to create over 1,00,000 skilled jobs.

Shrabona Ghosh


A journalist with a cosmopolitan mindset. I lead a project called 'Corporate Innovations' wherein I cover corporates across verticals and try to tell stories on innovations. Apart from this, I write industry pieces on FMCGs, auto, aviation, 5G and defense. 

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