According to Vembu, the reports are based out of media speculation because the investment proposal is yet to be approved internally by the company.
Hours after news reports surfaced that a new semiconductor venture from Chennai’s Zoho Group will invest Rs 3,034 Crore in Odisha, Sridhar Vembu, co-founder and CEO of the firm, refuted the claim. According to Vembu, the reports are based on media speculation because the investment proposal is yet to be approved internally by the company.
When Zoho’s semiconductor venture, dubbed Silectric Semiconductor Manufacturing Pvt Ltd, was established in March 2024, media reported that the company was all set to begin its new silicon carbide manufacturing unit in the Khurdha district of Odisha. Recently, Sampad Chandra Swain, MoS (I/C) for Industries, Skill Development and Technical Education, Government of Odisha, posted on Twitter that the Odisha state cabinet is mainly discussing the proposal, which will be approved soon.
“I do not like to comment on rumours and speculation, but today’s news item on our semiconductor investment is inaccurate. I dislike commenting on rumours and speculation, but today’s news item on our semiconductor investment is inaccurate. That is all I can say at this point,” said Vembu.
If approved, it will be one of the largest manufacturing units in the State after the cabinet announced the Odisha semiconductor policy in September 2023. Currently, 12 major industrial ventures have been approved by the Odisha High-Level Clearance Authority (HLCA), with Rs 39,000 Crore already sanctioned. It was also reported that Zoho aims to foray into the chip manufacturing ecosystem with an investment of Rs 5,848 Crore and plans to produce compound semiconductors, an ideal substitute for silicon in chip-making.
Regarding the Electronics System Design and Manufacturing (ESDM) sector, three proposals have been approved by the Odisha state cabinet, including Kaynes Circuits India’s approval for manufacturing printed circuit boards. The projects in Khurda entail an estimated investment of Rs 6355.50 crore with an employment opportunity for 2320 people. Silelectric was reported to set up a silicon carbide manufacturing value chain from silicon carbide ingots to wafers to mosfets to modules to modified assembly, marking and packaging facility.
