India’s Tata Electronics Limited (TEL) and Powerchip Semiconductor Manufacturing Corporation (PSMC) of Taiwan, have signed a definitive agreement for semiconductor manufacturing technology transfer to India, according to a statement issued by TEL on Friday, September 27.
Under the agreement, PSMC will provide design and construction support to build India’s first AI-enabled state-of-the-art greenfield semiconductor fabrication unit in the western state of Gujarat and license a broad portfolio of technologies and provide engineering support to successfully transfer licensed technologies to the unit.
The unit will have a manufacturing capacity of up to 50,000 wafers per month and will include next-generation factory automation capabilities deploying data analytics and machine learning to achieve industry-best factory efficiency, the company said.
The total investment in the semiconductor-making facility will be to the tune of $11 billion.
The agreement between TEL and PSMC will bring to India a portfolio of cutting-edge semiconductor technologies, an advanced skill set and talent, and a network of semiconductor manufacturing suppliers and ecosystem partners, setting the foundation for an indigenous semiconductor ecosystem in India, the company added.
