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Indichip Semiconductors to Set Up India's First Private Semiconductor Manufacturing Facility in Andhra Pradesh.

National | Dated: 16 Jan 2025

In January 2025, Indichip Semiconductors Limited, headquartered in Noida, Uttar Pradesh (UP), in partnership with its Joint Venture (JV) partner Yitoa Micro Technology Limited (YMTL) from Japan, signed a Memorandum of Understanding (MoU) with the Government of Andhra Pradesh (AP) to establish India’s first private semiconductor manufacturing facility at the Orvakal Mega Industrial Hub in Kurnool, AP.

🎯 Key Highlights:

  • - The project involves an investment exceeding Rs 14,000 crores.
  • - The MoU was signed between Piyush Bichhoriya, Managing Director (MD) of Indichip Semiconductors Limited, and Saikanth Varma, Chief Executive Officer (CEO) of the Andhra Pradesh Economic Development Board (APEDB).
  • - This project aligns with AP’s Semiconductor Policy, launched in November 2024, aiming to transform the state into a hub for electronics and semiconductor manufacturing while supporting India’s Aatmanirbhar Bharat vision by boosting domestic production and reducing import dependency.

💡 Other Important Facts:

  • (i) The AP government will provide land in the Orvakal Mega Industrial Hub along with essential infrastructure and support to ensure the project’s success.
  • (ii) The facility will specialize in manufacturing Silicon Carbide (SiC) chips, crucial for energy-efficient technologies, Electric Vehicles (EVs), and Renewable Energy (RE) systems, with an initial production capacity of 10,000 wafers per month, scalable to 50,000 wafers per month within 2-3 years.
  • (iii) In November 2024, Gujarat became a pioneer in India's semiconductor industry by launching the Gujarat Semiconductor Policy 2022-2027, setting up the country’s first semiconductor facility in Sanand and initiating the construction of India’s first AI-enabled semiconductor fabrication plant in Dholera.

📚 Test Your Knowledge:

Recently, which company has signed an MoU to set up India's first private semiconductor manufacturing facility in Andhra Pradesh?

Correct Answer: Indichip Semiconductors

🚀 Quick Recap:

About Andhra Pradesh (AP)

  • CM: N. Chandrababu Naidu
  • Governor: Syed Abdul Nazeer