Tata Sons Chairman, N Chandrasekaran, hinted at an imminent announcement regarding a semiconductor chip fab with a substantial investment during his speech at the 20th Anantharamakrishnan Memorial lecture on ‘India’s Leadership in a Pivotal Decade’. The conglomerate’s forward-looking strategy includes investments in Air India and the electronics and semiconductor sector, although specific details about the semiconductor manufacturing facility were not disclosed.
Reports suggest that the Tata Group is exploring potential partnerships with major Taiwanese chipmakers like Powerchip Semiconductor Manufacturing Corporation (PSMC) and UMC Group for the proposed chip fabrication plant in Dholera, Gujarat. Chandrasekaran highlighted the intention to produce multiple nodes, underscoring the group’s commitment to advancing semiconductor technology.
He also emphasized that India, with its size, demography, and other advantages, is well-positioned to capitalize on changes in the supply chain, including advancements in manufacturing technology.
Chandrasekaran had previously mentioned on January 10 that the group was close to finalizing a significant semiconductor fab in Dholera, with negotiations expected to conclude soon for a potential start in 2024. Additionally, in August 2023, Vinayak Pai, MD of Tata Projects, outlined plans for Tata Projects to derive around 20 percent of its revenue from building semiconductor manufacturing factories by FY25-26. The company is gearing up to commence a large semiconductor manufacturing project employing the latest construction technologies, with the aim for semiconductor and chip manufacturing to constitute a significant portion of its revenue by 2025-26.
