In a groundbreaking achievement for India’s burgeoning semiconductor industry, Rajasthan-based Sahasra Semiconductors has begun the commercial production of the country’s first domestically manufactured memory chips. The company’s semiconductor assembly, testing, and packaging unit in Bhiwadi district initiated production earlier this month, marking a significant milestone for the country’s technology sector, reports ET. Surpassing even global giants like Micron, Sahasra has swiftly entered the market, making its inaugural shipments of “Made-in-India” micro-SD cards to various e-commerce platforms.
Amrit Manwani, Managing Director of Sahasra Group, expressed pride in the accomplishment, stating, “We have truly become the first company to sell made-in-India micro-SD cards, and the response we have received on e-commerce platforms has been phenomenal.” He revealed that the Bhiwadi unit is expected to reach 30% production capacity by year-end and outlined plans for an ambitious second phase in early 2024. This phase will involve advanced packaging of products, including internal memory chips.
Sahasra Semiconductors has received significant support from government initiatives such as the production-linked incentive (PLI) for components and sub-assemblies of white goods and the scheme for the promotion of manufacturing of electronic components and semiconductors (SPECS). Under SPECS, the company is eligible to receive 25% of the capital expenditure for setting up or expanding its manufacturing facility, further boosting its growth prospects.
Meanwhile, the Indian government’s efforts to bolster the semiconductor ecosystem have gained momentum. Global chipmaker Micron Technology has announced an $825 million investment in establishing a new assembly and test facility in Gujarat. This facility, set to commence manufacturing DRAM and NAND products by late 2024, has received substantial fiscal support from the central government, covering half of the entire project cost, and an additional 20% support from the Gujarat Government.
Major tech players are boosting India’s semiconductor sector. Google launched Tensor chips for Pixel smartphones, designed in India. Applied Materials invests $400 million in a Bengaluru engineering center, while AMD plans a $400 million expansion of its Indian facility. Vedanta aims to invest $20 billion in semiconductor and display fabs in India.
