To enhance infrastructure in their upcoming Gujarat fab and testing facility in Assam, Tata Electronics and Tokyo Electron Limited have joined hands for semiconductor equipment purchase and skill development.
On Monday, Tata Electronics announced a memorandum of understanding (MoU) with Tokyo Electron Limited (TEL) to purchase equipment and enhance the infrastructure for its semiconductor facilities currently being built in Gujarat and Assam.
The agreement also includes provisions for training Tata Electronics’ staff on TEL equipment and supporting continuous enhancement and R&D (research and development) efforts.
Tata Electronics is constructing India’s inaugural semiconductor fabrication unit in Dholera, Gujarat, with a total investment of ₹910 billion. Additionally, the company is investing ₹270 billion in an assembly and testing facility for semiconductor chips in Jagiroad, Assam.
According to the company’s official statement, these facilities will collectively manufacture semiconductor chips for various applications, including automotive, mobile devices, artificial intelligence (AI), and other critical areas, catering to customers around the world.
Indicating that their partnership encompasses both front-end fabrication and back-end packaging technologies, Toshiki Kawai, President and CEO of TEL, emphasised that by combining their respective strengths, they aim to speed up development and foster innovation across various technology nodes.
Furthermore, the MoU aims to boost local talent. To achieve this, TEL plans to tap into India’s skilled workforce and establish an engineering service centre in the country, supporting global product development efforts.
Expressing enthusiasm for this deal, Randhir Thakur, Managing Director and CEO of Tata Electronics stated that TEL’s track record of collaborating closely with its clients and expertise in semiconductor equipment would play a crucial role in creating a robust ecosystem in India, that Tata aims to build.