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India built a fledgling chip industry in 5 years. What Semicon 2.0 wants next

18 Sep 2026
2 min

Overview of Semicon India 2026

Prime Minister will inaugurate the fifth edition of Semicon India 2026, aiming to attract global chip manufacturers and talent to India. The three-day event, from September 17 to 19, focuses on the theme: ‘Silicon to Systems: Building the Ecosystem’.

Objectives and Participants

  • Bringing together global and Indian companies, policymakers, investors, researchers, start-ups, and academic institutions.
  • Focusing on collaboration, investment, innovation, and talent development.

Key Highlights

The conference will cover:

  • Advancements in the display industry.
  • Six Country Roundtables for collaboration and joint ventures.
  • A forum on women’s leadership.

India's Semiconductor Push

Semiconductor Mission 2.0

Announced with a budget of Rs 1.27 lakh crore, emphasizing domestic chip design and localizing the supply chain.

  • India attracted 12 chip manufacturing projects, including a Tata Group facility.
  • Aims to build Indian-owned intellectual property and fabless semiconductor companies.

Focus on National Security

  • Developments in IP, chips, SoCs, and modules for critical infrastructure.
  • Support for commercial chip-design companies with access to design tools and wafer fabrication services.

Broader Ecosystem Enhancement

  • 30% capital expenditure support for R&D facilities and manufacturing plants.
  • Production-linked incentive for equipment manufacturers.
  • Capex support for silicon wafer fabs and other semiconductor facilities.

Talent Development

Emphasis on developing a skilled workforce:

  • India quickly trained 85,000 semiconductor engineers in four years.
  • Aims to develop an additional 100,000 engineers.
  • Creation of 50,000 – 60,000 direct jobs anticipated.

Support extends to chip-design tools, training infrastructure, and improved laboratories, with eligible projects receiving up to 75% cost support.

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RELATED TERMS

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Capital Expenditure (Capex) Support

Financial assistance provided by the government to companies to cover a portion of their capital expenditure on setting up R&D facilities and manufacturing plants, particularly for semiconductor-related infrastructure.

Production-Linked Incentive (PLI)

A government scheme that offers incentives to companies based on their incremental sales of manufactured goods, encouraging domestic production and investment in targeted sectors like semiconductor equipment manufacturing.

Wafer Fabrication

The process of manufacturing semiconductor devices, such as integrated circuits, on a substrate of silicon or other semiconductor material, often referred to as a 'wafer'.

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