India kicked off Semicon India 2025 in New Delhi where ISRO’s space-grade Vikram 32-bit processor was handed over to the Prime Minister, and the government highlighted 10 approved semiconductor projects and near-term chip rollouts with new assembly and packaging lines.
On September 2, Prime Minister Narendra Modi inaugurated Semicon India 2025 in New Delhi, where India’s IT Minister Ashwini Vaishnaw presented ISRO’s Vikram 32-bit processor and test chips of sanctioned projects. The Prime Minister described Semiconductor Chips as the defining technology of this century and highlighted India’s clear intent that we will build Semiconductor chips at home.
Vikram 3201 is India’s first fully “Make-in-India” 32-bit microprocessor qualified for launch vehicle conditions. It is an upgrade to the older 16-bit Vikram 1601, designed by ISRO and fabricated at SCL Chandigarh on the 180nm process.
Why India Semiconductor Mission matters
Space-grade processors are mission critical and difficult to source. If India designs and fabricates its chips domestically, there will be less risk in imports, the supply chain will be strengthened, and India’s know-how in high-reliability electronics will deepen—these capabilities will help in further defense and industrial uses as well.
This announcement is a signal of growth beyond just speeches. India now has 10 approved semiconductor manufacturing and packaging projects in 6 states, with investment commitments of ₹1.6 lakh crore (≈$18–19 billion) received, which was launched under the India Semiconductor Mission 2021.
Where the ecosystem stands
Construction is underway in many places. On August 28, the government inaugurated CG-Semi’s pilot OSAT (Outsourced Semiconductor Assembly and Test) facility in Sanand, Gujarat, with the aim to scale up volume and qualify for product, with officials saying the first chips in this line are expected soon.
The approval includes both front-end and back-end: advanced 3D heterogeneous packaging, traditional fabs, and compound semiconductors such as silicon carbide. Projects are distributed in Gujarat, Assam, Uttar Pradesh, Punjab, Odisha and Andhra Pradesh. This mix mainly targets telecom, automotive and consumer electronics demand.
The Indian government has sanctioned 23 projects under the Design Linked Incentive scheme to grow local IP and fabless capability. Officials say it is essential that chips be “designed in India” and “made in India”.
Latest official data shows GDP grew 7.8% in Q1 FY26. India also pitched macro stability to investors and said the government will provide a supportive backdrop for semiconductor investment and talent development.
What’s next
The near term focus is on proving the lines, qualifying the product, and taking pilot chips to commercial use. Our IT Minister Ashwini Vaishnaw has indicated that more chips from the approved plant are expected in the next few months as facilities ramp up and customers validate output. Execution will be a key watch-item against these timelines.
In the long term, policymakers want India to make a meaningful contribution to the global semiconductor market, which is projection to be close to $1 trillion by 2030—and this ambition is only possible if sustained incentives, skilled talent, competitive utilities, and private investment continue to come.