More than 20 companies have shown interest in setting up semiconductor fabrication plants in India
Tower Semiconductor has written to Prime Minister Narendra Modi requesting his intervention for fast tracking on a government proposal around chip manufacturing. The government of India had floated an expression of interest (EOI) for chip manufacturing at the start of the this year.
First reported by the Economic Times, the company has expresses concerns over the delay and noted that it might be unable to stay active in the project in the near future.
Tower Semiconductor is Next Orbit Ventures’ technology partner. The latter is a consortium headquartered in Abu Dhabi. The media house claims to have seen the letter which is supposedly also marked to MeitY minister Ashwini Vashnaw and finance minister Nirmala Sitharaman.
It is to be noted here that the commerce and industry minister Piyush Goyal had a call with the company around June to offer support. More than 20 companies have shown interest in setting up semiconductor fabrication plants in India. A report by Hindu BusinessLine quoting Rajeev Khushu, president, IESA, noted that two-three of the projects quoted by these 20 companies are very serious projects.
This, as per Khushu, is the first time that the government of India is discussing about the kinds of incentives required to bring semiconductor companies in India, with semiconductor companies. Khushu reckons some serious players can soon come to India because of this approach.
The government, as per the report is looking towards three to four companies for seriously pursuing the scheme. However, the government does not want to fix the form or amount of incentives it will be rolling out.
“They wanted to mention a figure to create interest. This also means that they are not restricting the figures to $100,000, a million or a billion,” Khushu was quoted saying.
