AP Govt. Approves Proposal of ₹2,388 Crore Semiconductor Facility

Andhra Pradesh clears first OSAT semiconductor unit, creating 1,000 direct jobs in Visakhapatnam.

Advanced System in Package Technologies Private Limited has recently received approval from the Andhra Pradesh Government to set up an outsourced semiconductor assembly and test (OSAT) facility at Tarluvada in Visakhapatnam district. The facility will provide 1,000 direct jobs.

According to a statement, this is the first semiconductor manufacturing unit in the State to be cleared under the India Semiconductor Mission framework. The decisions were taken during a Cabinet meeting chaired by Nara Chandrababu Naidu in Amaravati.

The Cabinet approved the allotment of 30 acres of land for a semiconductor unit and granted special incentives for the project. Officials said the project goes beyond the minimum eligibility requirements and is expected to create significant indirect employment opportunities.

The Cabinet also cleared proposals for Adani Infra (India) Limited to set up a 1,000 MW AI data centre cluster in Visakhapatnam and Anakapalli districts. Around 601.4 acres of land will be allotted to three Special Purpose Vehicles (SPVs) — Vizag Hyperscale, Vizag Mega and Vizag Rambilli Data Centre Park. A committee will review incentives and provide regulatory support for the project.

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In the energy sector, the Cabinet approved several renewable energy projects. These include a 900 MW solar project by NTPC Renewable Energy Limited in Kurnool district, and wind power projects with a total capacity of 320 MW in Anantapur district under the A.P. Integrated Clean Energy Policy 2024.

Naidu asked the departments to ensure time-bound grounding of approved projects, adopt emerging technologies, including AI for transparent clearances, and strengthen coordination to boost investor confidence and economic growth.

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Nitisha Dubey
Nitisha Dubey
Nitisha Dubey is a journalist at EFY. She focuses on startups and innovations with a deep interest in new technologies and business models.

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