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Micron to Launch First India-Made Chips from Sanand Unit in 2025

CIO Insider Team | Thursday, 2 May, 2024
Separator

Micron India hopes to roll out the first batch of chips packaged at its Sanand unit in Gujarat early next year and most of these semiconductor chips will be for exports, the company’s India managing director Anand Ramamoorthy says.

Ramamoorthy says, “Even while the Indian market for semiconductor chips is expanding, it is still very tiny in relation to the worldwide need for semiconductors. Speaking off-camera at a corporate event in the city, he revealed the company's collaborations with universities.”

No Indian factory will ever produce goods exclusively for the country. It will be a minor portion, with the majority going towards exports. A factory catering to the needs of India's consumers is a convenience. However, there's much more to be said about the factory going genuinely global in terms of turnaround time, cost structure, and quality.

We have to be very agile and nimble. It is not like if we make a chip today, it is pre-decided that it will be used in a specific sector

“Chips to be packaged at the Sanand unit will primarily be used in data centers, smartphones, notebooks, internet-of-things devices, and the automotive segments. A lot of how the demand in India shapes up eventually will also depend on the product offering of domestic chip foundries, such as the one being set up by the Tata Group in collaboration with Taiwan’s Powerchip Semiconductor Manufacturing Corporation,” Ramamoorthy adds.

Ramamoorthy says, “We have to be very agile and nimble. It is not like if we make a chip today, it is pre-decided that it will be used in a specific sector. Those specifics can be moved very quickly. That is the beauty and challenge in our business.”

Micron declared in 2023 that it would establish a semiconductor chip assembly and testing facility in Gujarat's Sanand. Up until that point, the plant served as India's first semiconductor chip packing unit. A $2.75 billion total investment is anticipated, of which $825 million will come from the corporation.

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