Cabinet Clears Rs 46 Billion for 4 New Semiconductor Units
13 Aug 2025 CW Team
The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved four new semiconductor projects under the India Semiconductor Mission (ISM), adding to the six already in progress. The newly sanctioned units — from SiCSem, Continental Device India Private Limited (CDIL), 3D Glass Solutions Inc., and Advanced System in Package (ASIP) Technologies — will be set up in Odisha, Punjab, and Andhra Pradesh.
Investment and Employment
These projects involve a cumulative investment of about Rs 46 billion and are expected to generate 2,034 skilled jobs, along with numerous indirect employment opportunities. With these additions, ISM now has ten approved projects with a combined investment of around Rs 1.6 trillion across six states.
Strategic Importance
The facilities will cater to the growing demand for semiconductors in telecom, automotive, data centres, consumer electronics, and industrial electronics, advancing India’s self-reliance in critical technology sectors.
- SiCSem (Odisha), in collaboration with UK-based Clas-SiC Wafer Fab Ltd., will establish the country’s first commercial Silicon Carbide compound semiconductor fab with an annual capacity of 60,000 wafers and 96 million packaged units.
- 3D Glass Solutions Inc. (Odisha) will set up an advanced packaging and embedded glass substrate unit capable of producing 69,600 glass panel substrates, 50 million assembled units, and 13,200 3D heterogeneous integration modules annually.
- ASIP Technologies (Andhra Pradesh), with South Korea’s APACT Co. Ltd., will establish a unit with an annual capacity of 96 million semiconductor units for applications in mobile, automotive, and consumer electronics.
- CDIL (Punjab) will expand its Mohali plant to manufacture 158.38 million high-power discrete semiconductor devices, including MOSFETs, IGBTs, and diodes, in both silicon and silicon carbide.
Boost to the Ecosystem
The approvals mark a significant milestone for India’s semiconductor industry, introducing its first commercial compound fab and advanced glass-based substrate packaging facility. These initiatives complement the country’s expanding chip design capabilities, supported by government-backed infrastructure in 278 academic institutions and 72 start-ups. Over 60,000 students have benefited from talent development programmes, further strengthening the talent pipeline for the sector.