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What is the story about?
Global semiconductor companies Applied Materials, Infineon Technologies and NXP Semiconductors are expanding their bets on India as the country seeks to build a broader chip industry spanning manufacturing, research, design, talent and suppliers.
Applied Materials plans to invest an additional $5 billion in India over the next 10 years, with the spending focused on research and development, talent and the local supplier ecosystem, President-SPG Prabu Raja said.
The company has announced its India Vision 2035, which includes plans for a 145-acre research park in Bengaluru. Applied Materials also plans to work with Indian and global suppliers, customers and universities to develop a more integrated semiconductor ecosystem in the country.
“The industry is growing right now at a very high speed, and so India is in a very good place with the talent,” Raja said. The company plans to deepen its R&D operations in India while bringing more suppliers into the country and working with customers and universities.
Applied Materials is also expanding its role in India beyond chip design to cover more parts of the product lifecycle and supply chain.
“We are talking about the end-to-end product lifecycle right now rather than just doing the design,” Raja said.
Infineon sees 30% growth
For Infineon, demand in India is being driven by digitalisation, electrification and automation.
Chief Executive Jochen Hanebeck said the German chipmaker works with around 1,200 customers in India and expects its revenue in the country to grow at a compound annual rate of about 30% for the foreseeable future.
Infineon is also looking at India’s deep-tech startup ecosystem. Its recent acquisition of C2i Semiconductors, which develops technology to address power-management challenges associated with AI processors, is one example of the company’s interest in emerging technologies.
Hanebeck said India already has strong capabilities in chip design and software, but developing the broader semiconductor supply chain remains an important next step.
He said the first and second phases of the India Semiconductor Mission, or ISM, would help support that development.
NXP expands engineering footprint
NXP Semiconductors has more than 4,500 engineers in India and spends several hundred million dollars a year on R&D in the country.
About one-third of NXP’s global engineering workforce is based in India, working on areas including artificial intelligence, microprocessors, microcontrollers, security and functional safety.
The company is also engaging with Indian startups, with potential opportunities ranging from supplier relationships and partnerships to acquisitions.
NXP is in close discussions with local companies involved in outsourced semiconductor assembly and testing (OSAT) as well as wafer manufacturing. The company wants to retain the flexibility to tap into India’s growing semiconductor ecosystem as it develops.
The growing interest from global chipmakers comes as the government prepares to expand support for the semiconductor industry under the second phase of the India Semiconductor Mission.
The companies’ plans also point to a broader shift in India’s semiconductor ambitions — from building capabilities in chip design to developing the suppliers, research infrastructure, manufacturing and talent needed to support the industry end to end.
Applied Materials plans to invest an additional $5 billion in India over the next 10 years, with the spending focused on research and development, talent and the local supplier ecosystem, President-SPG Prabu Raja said.
The company has announced its India Vision 2035, which includes plans for a 145-acre research park in Bengaluru. Applied Materials also plans to work with Indian and global suppliers, customers and universities to develop a more integrated semiconductor ecosystem in the country.
“The industry is growing right now at a very high speed, and so India is in a very good place with the talent,” Raja said. The company plans to deepen its R&D operations in India while bringing more suppliers into the country and working with customers and universities.
Applied Materials is also expanding its role in India beyond chip design to cover more parts of the product lifecycle and supply chain.
“We are talking about the end-to-end product lifecycle right now rather than just doing the design,” Raja said.
Infineon sees 30% growth
For Infineon, demand in India is being driven by digitalisation, electrification and automation.
Chief Executive Jochen Hanebeck said the German chipmaker works with around 1,200 customers in India and expects its revenue in the country to grow at a compound annual rate of about 30% for the foreseeable future.
Infineon is also looking at India’s deep-tech startup ecosystem. Its recent acquisition of C2i Semiconductors, which develops technology to address power-management challenges associated with AI processors, is one example of the company’s interest in emerging technologies.
Hanebeck said India already has strong capabilities in chip design and software, but developing the broader semiconductor supply chain remains an important next step.
He said the first and second phases of the India Semiconductor Mission, or ISM, would help support that development.
NXP expands engineering footprint
NXP Semiconductors has more than 4,500 engineers in India and spends several hundred million dollars a year on R&D in the country.
About one-third of NXP’s global engineering workforce is based in India, working on areas including artificial intelligence, microprocessors, microcontrollers, security and functional safety.
The company is also engaging with Indian startups, with potential opportunities ranging from supplier relationships and partnerships to acquisitions.
NXP is in close discussions with local companies involved in outsourced semiconductor assembly and testing (OSAT) as well as wafer manufacturing. The company wants to retain the flexibility to tap into India’s growing semiconductor ecosystem as it develops.
The growing interest from global chipmakers comes as the government prepares to expand support for the semiconductor industry under the second phase of the India Semiconductor Mission.
The companies’ plans also point to a broader shift in India’s semiconductor ambitions — from building capabilities in chip design to developing the suppliers, research infrastructure, manufacturing and talent needed to support the industry end to end.
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