Tata Electronics has begun pilot chip production at its ₹27,000-crore Assam OSAT facility, with a planned capacity of 48 million chips per day. The company is also diversifying its semiconductor supply chain beyond China.
Tata Electronics has started pilot chip production at its ₹27,000-crore semiconductor assembly and test (OSAT) facility in Jagiroad, Assam, after completing the plant’s first clean room. The milestone marks the transition from facility construction towards semiconductor manufacturing operations.
The pilot production comes ahead of the facility’s formal inauguration, expected between December 2026 and January 2027. Once fully operational, the facility is designed to produce 48 million chips per day.
Tata Electronics is also building a geographically diversified supply chain to reduce dependence on China for semiconductor-assembly inputs and equipment. Following agreements signed at SEMICON India 2026 in September, the company secured 16 partnerships with firms across Europe, Japan, Malaysia, and Singapore.
The partnerships include Nexperia, Besi, Fujifilm, Sumitomo, and Sojitz, and are intended to localise raw-material sourcing and secure machinery for semiconductor assembly. The approach is also aimed at reducing exposure to trade disruptions and geopolitical bottlenecks.
The next challenge is moving from pilot production to full commercial-scale operations while meeting the quality and volume requirements of global technology customers. Tata Electronics will need to qualify its products with customers and improve production efficiency before reaching large-scale commercial operations.
The company’s progress towards full commercial production and its ability to secure large-scale orders from global electronics manufacturers will be key developments to track.
