For its projected chip fabrication plant at Dholera in Gujarat, the Tata Group is reportedly looking into joint ventures with one of the two major Taiwanese chipmakers, Powerchip Semiconductor Manufacturing Corporation (PSMC) or UMC Group.

With applications ranging from graphic processing units (GPU) to consumer electronics and the internet of things, the Indian conglomerate plans to produce mature nodes of 65 nm (nanometre) in a few years, before going to 48 nm and eventually to 28 nm.

When operating at maximum efficiency, the plant's initial capacity is expected to be 25,000 wafers per month, or roughly 700–1,000 semiconductor chips per day.

Tata Sons Chairman N Chandrasekaran revealed the company's development and investment ambitions at the Vibrant Gujarat Summit 2024. In two months, the business intends to begin construction of a 20 GW gigafactory in Sanand to produce lithium ion batteries.

Tata Sons Chairman N Chandrasekaran announced in January that the company will unveil a “huge semiconductor fab” in Dholera that will start operations in 2024 during the summit in Gujarat. This will achieve a long-standing goal of New Delhi by making it the first significant chipmaking plant established by an Indian multinational.

Chandrasekaran said that the group is on the verge of concluding a “huge semiconductor fab” in Dholera. “We are about to complete negotiations for the semiconductor fab, and start in 2024.”

“Recently, we have made significant commitments to expand our presence in the state of Gujarat. Sanand is becoming home for all our electric vehicles’ technology,” he said, while adding that the expansion in Sanand has been undertaken to meet the growing demand for EVs.

It will also need government subsidies through the India Semiconductor Mission, which provides an additional 15–25 percent in state-provided capital incentives in addition to the Center's over 50 percent capital incentive.