Prime Minister Narendra Modi announced India's expanded semiconductor manufacturing strategy on August 15, 2026 (Independence Day), stating three semiconductor fabrication facilities have begun commercial production with chips already entering export markets. He committed to building five to eight additional chip plants over the next seven to eight years, supported by the government's Semicon 2.0 programme with an outlay of ₹1,27,500 crore (approximately $15 billion USD).
The three operational plants are Micron (February 2026), Kaynes (March 2026), and CG Semi (July 2026), all producing OSAT/advanced packaging capacity. Semicon 2.0 broadens support beyond fabs to cover chip design, manufacturing equipment and materials, intellectual property, packaging, R&D and workforce development. Twelve projects involving over ₹1.64 lakh crore ($20 billion USD) have already been approved under the original India Semiconductor Mission launched in 2021, including a future silicon fab planned for commissioning in 2028.
Modi's speech positioned semiconductors as critical to India's push for technological self-reliance (Atmanirbhar Bharat) and highlighted complementary investments: the IndiaAI Mission with ₹10,372 crore now oversees 45,000+ GPUs and 237 AI projects; 200 GW of clean nuclear power will supply chip fab and AI data centre grids; and mobile phone manufacturing has expanded 33x and electronics 7x since 2014.
For architects: India's chip roadmap reflects geopolitical repositioning away from supply-chain concentration in Taiwan and South Korea. The focus on full-stack ecosystem (design to packaging) and commitment to 5–8 new fabs signals long-term strategic ambition. ASML and Tata are already partnering on a $11B silicon fab in Gujarat; this represents a multi-year tailwind for OSAT capacity, materials suppliers, and India-anchored design houses in automotive and IoT.