The Minister of Electronics and Information Technology, Ashwini Vaishnaw, warned the industry about the need for vigilance regarding potential cyberattacks and other disruptions that could target India's growing chip manufacturing sector.
In an interview with PTI, Vaishnaw noted that India's rising semiconductor potential could be viewed as a 'threat' to established players in the global chip value chain. He emphasized that the country now possesses capabilities for designing and manufacturing chips, which will obviously be perceived as a threat by many other influential parties.
He stated that constant monitoring of geopolitical risks is necessary due to India becoming a nation capable of developing and producing chips. The Minister urged the entire industry to be prepared for various threats and disruptions that might be created by countries unwilling to see India grow in the semiconductor sector.
India aims to strengthen its presence in the global semiconductor value chain, making this sector increasingly significant for the country's technological and manufacturing ambitions. The government is expanding the ecosystem beyond chip assembly and testing to include design, equipment, materials, and manufacturing.
In July, the Council of Ministers approved the Semicon 2.0 program with allocations of ₹127,500 crore to support chip design, semiconductor equipment and materials, fabs, advanced packaging, research and development, and talent development. This program continues the momentum of the first phase, under which 12 semiconductor manufacturing projects were approved with investments exceeding ₹1.64 lakh crore; five of these, including Micron, Kaynes, and CG Semi, are already in commercial production.
India's activity in the chip sector represents a determined effort to move beyond simple packaging and build a broader domestic supply chain while attracting global companies to develop and manufacture semiconductor technologies in the country. Recently, the government announced securing approximately ₹1 lakh crore in investment commitments under the second phase of the semiconductor scheme.
Investor interest was clearly demonstrated at the recently concluded SEMICON India exhibition, which served as a major showcase of the country's manufacturing potential. Several large deals were announced at the event, including Applied Materials' plan for India worth $5 billion by 2035, Lam Research's offer of ₹10,000 crore, the establishment of the Tata Electronics supplier park spanning 363 acres in Dholera, and a semiconductor material plant from Fujifilm valued at ₹800 crore.