This marks another critical milestone in India’s push to build a vibrant domestic semiconductor ecosystem, reduce reliance on imports, and position itself as a key player in the global chip supply chain. With five semiconductor facilities already in advanced stages of construction, the new unit will be the sixth under the Mission, further strengthening the country’s high-tech manufacturing base.
The HCL-Foxconn plant will be set up in the Yamuna Expressway Industrial Development Authority (YEIDA) region and is designed to produce display driver chips used in mobile phones, laptops, automobiles, personal computers and other electronic devices with visual displays. The facility is expected to handle a monthly capacity of 20,000 wafers, with an output of up to 36 million units per month.
The Cabinet noted that the project will draw an investment of Rs 3,700 crore, signalling strong private sector participation in this strategic sector.
HCL brings decades of hardware development experience, while Foxconn is one of the world’s largest electronics manufacturers, giving the partnership both technical depth and global scale.
The broader semiconductor ecosystem in India is also rapidly taking shape. In addition to manufacturing facilities, world-class chip design clusters have emerged across multiple states, with over 70 startups and students from 270 academic institutions already working on cutting-edge design technologies. Twenty new chip products developed by students have been taped out by the Semiconductor Laboratory (SCL) in Mohali.
Global semiconductor equipment and material suppliers are also ramping up their presence in India. Companies like Applied Materials and Lam Research, among the world’s largest chip fabrication equipment makers, have established operations in the country.
