India is fast growing as a top name in the world chip scene, with new projects approved by the government on 1st August 2025, now set to make over 24 billion chips each year. This big jump forwards shows the country’s aim to be a lead chip maker. Reports say six main chip projects have been given the nod under India’s USD 9.0 billion chip help plan. Among these, a big chip-making plant by Tata Electronics is set to make about 50,000 wafers each month, while five units for packing and putting things together will, in all, make the 24 billion chips each year. These projects are at different steps of being made, and the government has said it will keep supporting to keep India’s chip path strong.
The need for chips in India has grown a lot in the last ten years. With more home tech, quick tech changes, more electric cars, and a rise in AI and IoT uses, India is set to be one of the big chip users in the world. Experts think the Indian chip market will go from about USD 54 billion in 2025 to more than USD 108 billion by 2030, with a strong yearly growth rate of about 15%. Some even think it could top USD 150 billion by the end of the decade. Though, until now, India has mostly bought chips from other places, paying over USD 9.1 billion each year for them. The plan is to cut down on this by making more chips in India through good plans and working with private firms.
India’s chip plan also aims to build a full and linked supply line. This means setting up skills in chip design, making, putting things together, tests, packing, and research. For example, making better the Semi-Conductor Lab in Mohali, India and planning the Bharat Semiconductor Research Centre at IIT Madras, India are key moves to better the country’s base skills in chip making and top-tier packing. Also, India is making strong ties between schools and big world firms, making sure there is always a flow of skilled people for this high-tech field.
Private cash is key in this big change. Tata Electronics’ making plant is a main effort, while firms like Lam Research and Micron have also put in a lot of money. Lam Research plans to put in over USD 1 billion in India, focusing on top chip-making tools and tech learning. Micron is putting in USD 1.56 billion to set up a chip packing and testing place in Gujarat. These moves show the world trusts India’s chip plans and setup. Also, Indian firms are doing their bit. For example, L&T Semiconductor Technologies plans to make a USD 10 billion chip making plant by 2027, focusing on certain types of chips.
There are big odds in India’s push for chips. The car field, especially electric cars, needs lots of chips for battery jobs, driving help, and fun systems. Also, home tech, telecoms, health care, defense, and smart setups need chips to work well and link. India is also a main place for chip design, with nearly 20% of the world’s chip design engineers here. More than 100 local chip design startups are active, making all sorts of chips. Efforts like the SHAKTI microprocessor from IIT Madras also show India’s own design skills.
Still, there are hard parts. Setting up chip making plants needs a lot of investment, new tech, skilled people, and steady basics all things that have made it hard to move forward before. Now, India makes less than 1% of the world’s chips. To get past these blocks, the government must keep its plans steady, make rules simpler, and help more work between local and world tech firms. Using AI, machine learning, and smart data in chip making and design can also help make India a place for next-level chip work.
In conclusion, India’s approved semiconductor projects represent more than just a boost in chip production they symbolize a national commitment to self-reliance, innovation, and economic transformation. With a goal to make 24 billion chips each year, a market that might cross USD 100 billion, and help from both world and Indian firms, the country is making a strong, world-class chip scene. If done right, this move can not only meet local needs but also make India a big name in the world.
