NEW DELHI: Reliance Industries is said to have begun exploring the possibility of finding a partner for semiconductor manufacturing. According to a report, the oil-to-telecom conglomerate is in early talks with foreign chipmakers for a technology partner.
The report, citing sources, said the company has the intent but no specific timeline; the company has yet to make a decision on whether it wants to ultimately invest. India’s semiconductor incentive scheme has been attracting many players.
Recently, the government approved the application of the US-based Micron Technology Inc., which plans to invest $2.75 billion in an assembly and testing facility in Gujarat. According to a recent report, Taiwanese tech giant Foxconn Technology Group has partnered with STMicroelectronics NV to build a semiconductor factory in India.
Foxconn and Franco-Italian STMicro are applying for the PLI (Production-Linked Incentive) incentive for a 40-nanometer chip plant. The government has requested more details about their application. Additionally, mining giant Vedanta Limited is also keen to begin fabs in the country and is actively looking for technology partners. India launched a $10 billion PLI scheme in 2021 to develop the semiconductor ecosystem in the country. The government forecasts that the domestic chip market will be worth $80 billion by 2028, compared to its current value of $23 billion.