Schedule a Call Back
L&T to invest over $300 million to establish a fabless semiconductor company
Industry News- Sep 12,24
Semiconductors have become crucial globally, particularly amid the US-China trade tensions, prompting electronics manufacturers to seek alternatives beyond China and Taiwan.
Larsen & Toubro Ltd (L&T) is set to invest over $300 million over the next three years to establish a fabless semiconductor company. This move underscores India's expanding efforts to bolster local semiconductor capabilities and reduce reliance on costly imports. The new chipmaker will focus on designing 15 semiconductor products by the end of this year and aims to commence sales by 2027.
Sandeep Kumar, Head, L&T Semiconductor Technologies, revealed that the company will design products including power chips, radio-frequency semiconductors, and mixed-signal integrated circuits. Unlike major global players like Nvidia and AMD, L&T's focus will be on sectors such as automotive, industrial, and energy, which are undergoing significant transformations.
Semiconductors have become crucial globally, particularly amid the US-China trade tensions, prompting electronics manufacturers to seek alternatives beyond China and Taiwan. This geopolitical shift is benefiting India, as it emerges as a viable option for semiconductor production and design.
L&T’s investment, while significant, is modest compared to the expenditures of leading fabless chipmakers. The company currently employs around 250 chip designers and plans to double this number by the end of 2024. L&T is advocating for government subsidies and incentives for chip design but will not seek external funding outside its group.
India's semiconductor ambitions are further supported by a $10 billion government initiative designed to attract chipmakers and suppliers. This program has already led to significant investments from Tata Group, Micron Technology Inc., and Adani Group, with the potential for further expansion of the fund.
Prime Minister Narendra Modi’s administration continues to support the growth of the semiconductor industry, reinforcing India’s role as a key player in the global supply chain.
(TOI)
Related Stories
Electrical & Electronics
Texas Instruments Opens New Semiconductor R&D Centre in Bengaluru
Texas Instruments has inaugurated a 550,000-sq-ft R&D centre in Bengaluru, marking 40 years in India and reinforcing its commitment to semiconductor design and innovation.
Read moreElectrical & Electronics
India must focus on R&D alongside electronics manufacturing: Sanjay Huprikar
In this interview with Rakesh Rao, Sanjay Huprikar, Chief Global Officer of the Global Electronics Association, explores trends in global electronics industry, India’s manufacturing ambitions, and..
Read moreElectrical & Electronics
Why Electronic Components Are Central to India’s Electronics Ambitions
India’s electronics push is shifting decisively from assembly to components, backed by the Union budget's higher ECMS outlay and ISM 2.0 to deepen value addition and resilience. The promise is rea..
Read moreRelated Products
Integrated Electric Gripper S Series
ELECTRICAL & ELECTRONIC EQUIPMENT
IBK Engineers Pvt Ltd offers a wide range of integrated electric gripper S series.
Geared Electric Motors
ELECTRICAL & ELECTRONIC EQUIPMENT
Delco Fans Pvt Ltd offers single phase capacitor run and three
phase geared Instrument motors, totally enclosed face/foot mounted.
“Kusam-Keco” Partial Discharge Acoustic Imager - Model - Km-pdai
ELECTRICAL & ELECTRONIC EQUIPMENT
‘Kusam-Meco’ has introduced a new “Partial Discharge Acoustic Imager Model KM-PDAI.
latest News
Subscribe to iNoW
For Industry News on WhatsApp, Give a Miss Call on: +91 84228 74016
