Aiming to power innovation and create 1500 jobs, Applied Materials’ new R&D hub is one of the three recent chip projects approved by the Karnataka government.
American semiconductor equipment giant Applied Materials is setting up a research and development (R&D) centre in Bengaluru. Called ‘Innovation Center for Semiconductor Manufacturing’ (ICSM), as announced by the company’s India head, Suraj Rengarajan, it is expected to spur over $2 billion in potential future investments.
This development follows Karnataka’s recent approval of three major semiconductor projects, including Applied Materials’ proposal. The company is committing ₹48.51 billion (approximately $400 million) over the next four years for the initial phase of the centre, which will be built on an approximately 4.05-hectare (10-acre) site in the city.
The ICSM will focus on advanced chip and display technology, acting as a collaborative platform for engineers, academia, and industry partners. It will also serve as a testbed for next-generation semiconductor manufacturing tools, replicating real-world fabrication conditions to streamline development and accelerate commercial readiness.
In a report by The Economic Times, Rengarajan noted that the centre aims to foster significant innovation while also developing a skilled workforce to support India’s expanding role in the semiconductor sector.
A major component of the initiative is a partnership with academic institutions, aimed at solving practical challenges in chipmaking and training the next generation of semiconductor engineers.
Among the other Karnataka projects, US-based Lam Research is investing over ₹159 billion to establish two facilities in Karnataka—one focused on cutting-edge R&D, and the other on silicon component manufacturing. Together, they are expected to create 1400 new jobs and support the development of 2nm chip technology.
Delhi-based Bharat Semi Systems is also launching an integrated chip design and fabrication facility in Mysuru, with an investment of ₹23.42 billion. This project will focus on compound semiconductors, which are vital for defence, telecommunications, and green technologies.
