After Meeting with Prime Minister Modi, Top Semiconductor CEOs Expressed Their Gratitude

Nitin Konde, Apoorva Bajj

Sep 12, 2024 — 3 min read

After Meeting with Prime Minister Modi, Top Semiconductor CEOs Expressed Their Gratitude

At 7, Lok Kalyan Marg on 11 September 2024, Narendra Modi, the prime minister of India, presided over the Semiconductor Executives' Roundtable. A broad variety of topics about the semiconductor industry were covered by the prime minister. PM Modi discussed the potential of this industry to advance Earth's growth path. In addition, he emphasized how India is becoming an attractive investment location due to the reforms that are currently underway.

The chief executive officers praised India's efforts to expand the semiconductor industry and said that the gathering of industry heavyweights here today was a first.

Key Pillars of India’s Development Strategy

Improving physical, digital, and social infrastructure; encouraging inclusive growth; lowering regulatory burdens; and drawing investments in manufacturing and innovation were among Modi's main points during the summit, which formed the basis of India's development plan. He highlighted India's ability to join a diverse global semiconductor supply chain as a dependable partner, thanks to its trained workforce and expanding talent pool.

The head of state assured the business leaders of a steady and predictable policy environment while reiterating the government's pledge to back the sector through its 'Make in India' and 'Make for the World' programmes. Modi added that India is trying to attract high-tech investments and that the government will step up its efforts in response to the positive response from semiconductor industry executives.

Acknowledging the government of India, Chandan Kumar GV, Vice President, Client Engagement at Indxx stated, "India currently grapples with a significant shortfall in chip manufacturing, leading to heavy reliance on imports. To address this challenge, the government has adeptly seized the opportunity presented by global supply chain disruptions from the pandemic to position India as a viable alternative to China in the semiconductor market. Central to this strategy is the India Semiconductor Mission (ISM), which aims to develop a robust domestic semiconductor ecosystem and lessen dependence on foreign technology."

"The ISM launched in December 2021 with an initial allocation of Rs. 76,000 crore (US$ 9.2 billion) represents a bold step toward transforming the sector. This initiative includes substantial government support, covering up to 50% of project costs through schemes like the Semiconductor Fab Scheme and Display Fab Scheme," he added.

Attendees of the Roundtable and Their Confidence in India

Many prominent semiconductor companies' CEOs and executives were present at the roundtable, including SEMI, Micron, NXP, PSMC, Renesas, Applied Materials, and countless more. Notable faculty members from Stanford, UC San Diego, and IIT Bhubaneswar were also in attendance.

Not just in terms of manufacturing, but also in terms of the production of raw materials, attendees voiced their opinion that India possesses the potential to become a worldwide powerhouse in the semiconductor supply chain. The corporate business leaders all agreed that India is the new investment destination, a belief that was strengthened by their pleasant experiences with Prime Minister Modi in the past.

India Backing the Semiconductor Industry

The plan to build a semiconductor factory in Sanand, Gujarat, with a daily chip manufacturing capacity of 6 million and an investment of INR 3,300 crore was given the green light by the Union Cabinet on September 2. The unit is a part of a larger government programme that includes four other semiconductor facilities in the works in Gujarat and Assam. These plants have a combined investment of around INR 1.5 lakh crore and can produce 70 million chips per day.

The upcoming SEMICON India 2024, which is scheduled to be hosted in Greater Noida, will also showcase the country's advances in the burgeoning semiconductor ecosystem.