Indichip Semiconductors Limited, a global leader in chip manufacturing, in partnership with M/s Yitoa Micro Technology Limited (YMTL) from Japan, has signed a Memorandum of Understanding (MoU) with the Government of Andhra Pradesh to set up India’s first private semiconductor manufacturing facility with an investment of over Rs 14,000 crore. The state-of-the-art facility will focus on manufacturing Silicon Carbide (SiC) chips, contributing to India’s technological progress and sustainability objectives.
Under its Semiconductor Policy announced in November 2024, the Government of Andhra Pradesh aims to position the state as a hub for electronics and semiconductor manufacturing. The new SiC fabrication plant will begin with a production capacity of 10,000 wafers per month, with plans to ramp up to 50,000 wafers per month within 2–3 years.
This strategic investment aligns with India’s Atma Nirbhar Bharat vision and responds to the growing global demand for energy-efficient technologies, electric vehicles, and renewable energy solutions.
Nara Lokesh, Minister for IT, remarked, “This investment reflects Andhra Pradesh’s ability to attract cutting-edge industries through innovative policies and robust infrastructure. Our focus on nurturing talent and providing seamless support will ensure the success of this initiative and enhance India’s global semiconductor footprint.”
TG Bharath, Minister for Industries, stated, “This partnership aligns with our vision of transforming Andhra Pradesh into a manufacturing powerhouse. The establishment of this SiC fab will not only generate thousands of jobs but will also drive innovation and foster ancillary industries in the region.”
Piyush Bichhoriya, Managing Director of Indichip Semiconductors, said, “This initiative reflects our commitment to nation-building through technological innovation. By focusing on Silicon Carbide chips, we aim to strengthen India’s manufacturing ecosystem and contribute to the global semiconductor industry.”
Dr. Sandeep Garg, Director at Indichip, added, “This collaboration will not only introduce cutting-edge technology but also pave the way for a sustainable future by meeting the growing demand for energy-efficient solutions in electric vehicles and renewable energy.”
The State Government has committed to providing the required land in the Orvakal Mega Industrial Hub in Kurnool, along with the necessary infrastructure and ecosystem to ensure the success of the project. With this development, Andhra Pradesh is set to become a leading destination for semiconductor and electronics manufacturing, setting a new benchmark for India’s growing technological landscape.
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