According to reports, Tata Electronics has completed the Definitive Agreement with Powerchip Semiconductor Manufacturing Corporation (PSMC). The Taiwanese major will provide design and construction support to build India’s first AI-enabled greenfield fab in Gujarat.

In addition, PSMC will license its broad technology portfolio and provide engineering support to transfer the licensed technology to the Gujarat plant. The Gujarat plant will have a monthly manufacturing capacity of up to 50,000 wafers. It will include next-generation factory automation capabilities with data analytics and machine learning to achieve greater efficiency.

According to the company, the new semiconductor plant will manufacture chips for applications such as power management ICs, display drivers, microcontrollers (MCUs), and high-performance computing logic to meet growing demand in markets such as AI, automotive, computing, data storage, and wireless communications. The plant will meet the growing demand in the AI, automotive, computing, data storage, and wireless communications markets.

This pioneering agreement between Tata Electronics and PSMC will bring to India a portfolio of leading-edge semiconductor technologies, highly skilled skill sets and talent, and a network of semiconductor manufacturing suppliers and ecosystem partners, laying the foundation for a semiconductor ecosystem unique to India.

The company calls it a “defining moment” that positions India as a reliable partner in the global semiconductor supply chain and accelerates the country's progress toward becoming a global semiconductor manufacturing hub.

The Tata Group, founded in 1868 by Jamsetji Tata, is a global company headquartered in India. The Tata Group operates in more than 100 countries on six continents with a mission to improve the quality of life of the communities it serves globally through long-term stakeholder value creation based on trusted leadership.

As a promoter holding company, 66 percent of Tata Sons' equity is held by charitable trusts, thereby returning wealth to society. The Tata name has been respected in India for 150 years for its strong values and adherence to business ethics.

Each company in the Tata Group employs the best people, strengthened by a culture of ethics and integrity. Tata Electronics Pvt. Ltd. is a venture under Tata Sons and aims to leverage the best engineering and manufacturing talent in India.