Ashwini Vaishnaw Inaugurates India’s First 3nm Semiconductor Hubs

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Ashwini Vaishnaw Inaugurates India’s First 3nm Semiconductor Hubs
14 May 2025
4 min read

News Synopsis

Union Minister for Electronics and Information Technology, Ashwini Vaishnaw, on Tuesday, inaugurated India’s first 3-nanometre (3nm) chip design centres in Noida and Bengaluru. This major development positions India among an elite group of countries working on cutting-edge semiconductor technologies.

The centres, established by Renesas Electronics India Private Limited, signify India’s growing capability in advanced chip design.

"Designing at 3nm is truly next-generation. We’ve done 7nm and 5nm earlier, but this marks a new frontier," said Union Minister for Electronics and Information Technology, Ashwini Vaishnaw,.

"This launch reaffirms India’s growing presence in the global semiconductor space and reflects increasing industry confidence, witnessed at global platforms such as the World Economic Forum in Davos," he added.

Part of India’s Larger Semiconductor Vision

Building a Complete Chip Ecosystem

The launch of these centres aligns with the Indian government’s comprehensive plan to develop a robust semiconductor ecosystem, which includes:

  • Design and fabrication

  • ATMP (Assembly, Testing, Marking, and Packaging)

  • Supply chains for equipment, gases, and chemicals

  • Skilling and talent development programs

This initiative is a key pillar under the India Semiconductor Mission, aiming to reduce import dependence and foster indigenous innovation.

Boost to Semiconductor Education in India

New Learning Kit for Engineering Students

To strengthen India’s talent pipeline, Vaishnaw also introduced a new semiconductor learning kit aimed at enhancing hands-on hardware skills for engineering students.

“This integration of software and hardware learning will create truly industry-ready engineers. We are not just building infrastructure but investing in long-term talent development,” said Vaishnaw, appreciating CDAC and ISM’s contributions.

Over 270 academic institutions, already equipped with advanced EDA (Electronic Design Automation) software, will now also receive these practical kits to offer a complete learning experience.

Renesas and Indo-Japan Semiconductor Collaboration

Hidetoshi Shibata, CEO and Managing Director of Renesas Electronics, who attended the launch event, emphasized the strategic importance of India to the company’s global roadmap.

He stated, “India is a strategic cornerstone for Renesas.”

Shibata highlighted that Renesas is strengthening its end-to-end capabilities in India—from architecture design to testing. The company is also actively supporting over 250 academic institutions and numerous startups, leveraging support from initiatives like the Production Linked Incentive (PLI) scheme and the India Semiconductor Mission.

He further stressed the value of Indo-Japan cooperation in reshaping the global semiconductor supply chain.

About India Semiconductor Mission

The India Semiconductor Mission (ISM) is a specialized and independent business division established within the Digital India Corporation. It was launched by the Government of India in December 2021 with a total financial outlay of ₹76,000 crore (approximately $10 billion). The mission operates under the Ministry of Electronics and Information Technology (MeitY).

Vision and Objectives of India Semiconductor Mission (ISM):

The primary vision of the ISM is to build a vibrant semiconductor and display design and innovation ecosystem in India. This aims to position India as a global hub for electronics manufacturing and design. The key objectives of the ISM include:

  • Formulating a long-term strategy: To develop sustainable semiconductor and display manufacturing facilities and a robust semiconductor design ecosystem in India. This involves consultation with government bodies, industry stakeholders, and academia.

  • Facilitating a secure supply chain: To promote the adoption of trusted electronics through a secure semiconductor and display supply chain, encompassing raw materials, specialty chemicals, gases, and manufacturing equipment.

  • Boosting the design industry: To enable significant growth in the Indian semiconductor design industry by providing necessary support such as Electronic Design Automation (EDA) tools and foundry services for early-stage startups.

  • Promoting Intellectual Property (IP): To encourage indigenous IP generation and facilitate the transfer of technologies in the semiconductor and display sectors.

  • Fostering collaborations: To establish partnerships with national and international agencies, industries, and institutions to catalyze collaborative research, commercialization, and skill development in the semiconductor field.  

Key Components and Schemes under ISM:

To achieve its objectives, the ISM is implementing several schemes:

  • Scheme for setting up Semiconductor Fabs in India: This scheme provides fiscal support of up to 50% of the project cost to eligible applicants for establishing semiconductor wafer fabrication facilities in India. The level of fiscal support depends on the size and technology node of the fab.

  • Scheme for setting up of Display Fabs in India: This scheme offers fiscal support of up to 50% of the project cost for setting up TFT LCD or AMOLED-based display fabrication facilities in the country.

  • Scheme for setting up of Compound Semiconductors / Silicon Photonics / Sensors (including MEMS) Fabs and Semiconductor Assembly, Testing, Marking and Packaging (ATMP) / OSAT facilities in India: This scheme extends fiscal support of 50% of the capital expenditure for establishing these specialized manufacturing and packaging units.  

  • Design Linked Incentive (DLI) Scheme: This scheme provides financial incentives and design infrastructure support across various stages of development and deployment of semiconductor designs for Integrated Circuits (ICs), Chipsets, System on Chips (SoCs), Systems & IP Cores, and semiconductor-linked designs. It includes both "Product Design Linked Incentive" and "Deployment Linked Incentive" components.  

Achievements and Recent Developments (as of May 2025):

The India Semiconductor Mission has been actively working to attract investments and build the semiconductor ecosystem in India. Some notable developments include:

  • Approval of Semiconductor Units: Several proposals for setting up semiconductor manufacturing and assembly units have been approved under the ISM scheme. This includes projects by Tata Electronics, CG Power in partnership with Renesas, and Micron Technology for setting up ATMP/OSAT facilities.

  • Land Allocation: State governments are also actively supporting the mission by allocating land for semiconductor manufacturing clusters, such as the allocation of land in Gujarat and Uttar Pradesh.

  • Fiscal Support Agreements: The ISM has signed fiscal support agreements with companies like Tata Electronics and Tata Semiconductor Manufacturing for establishing fabrication plants.

  • Growth in Investment: Significant investments, both domestic and international, are being directed towards establishing semiconductor manufacturing and design capabilities in India.

  • Focus on Skill Development: The mission recognizes the importance of a skilled workforce and is actively promoting and supporting skill development programs in the semiconductor domain across academic institutions and R&D organizations.

  • International Collaborations: India is actively engaging in collaborations with other countries like the USA, Japan, and the European Union to enhance expertise and build resilient semiconductor supply chains.

Challenges and Way Forward:

Despite the progress, the India Semiconductor Mission faces challenges such as the need for significant infrastructure investment, developing a skilled workforce, and competing with established global players. The way forward involves sustained government support, fostering a favorable business environment, encouraging research and development, and building strong international partnerships to achieve the vision of a self-reliant and globally significant semiconductor industry in India.

Conclusion: India’s Semiconductor Momentum Accelerates

The launch of India’s first 3nm chip design centres in Noida and Bengaluru represents a major leap forward in the country's ambition to become a global semiconductor hub. With cutting-edge technology from Renesas Electronics and strong government backing, this initiative signifies India’s readiness to compete at the highest level of chip innovation.

Union Minister Ashwini Vaishnaw’s announcement of hands-on learning kits and support for over 270 academic institutions reflects a strategic focus on nurturing homegrown talent. By combining infrastructure development with skill enhancement, India is laying a solid foundation for long-term self-reliance in semiconductor technology. The integration of academia, industry, and international collaboration, especially with Japan, is redefining the nation’s role in the global chip ecosystem.

This milestone isn't just about technological advancement—it's about future-proofing India's digital economy and creating a sustainable, innovation-driven semiconductor industry that supports startups, academia, and global competitiveness.