India’s chip manufacturing push timely amid global supply disruptions: HCL co-founder

According to HCL co-founder Ajay Choudhary, India’s manufacturing push backed by favorable policies is timely and gives the country the opportunity to grab a massive opportunity in the electronics hardware space amid COVID-induced supply chain disruptions and global confidence deficit around China. Holds firmly.

Choudhary – who is part of an advisory panel of experts set up by the IT ministry to lay out objectives and provide guidance on the semiconductor program – expressed confidence that India can emerge as a “credible partner” for the world in terms of hardware production. Is. and chip making.

He believes the policy push around manufacturing has created a fertile ground for transforming the country into a global powerhouse for electronics and semiconductor production.

“Overall, I think this is a great policy. And I think it has become more important in the current situation. The lack of global trust around China means that it is not only for us to sell semiconductor chips from India but also from India. There is a huge opportunity, but also hardware products that are made in India,” Chaudhary told PTI.

India now needs to move quickly to grab this opportunity, and position itself as an alternative to China for semiconductors and hardware.

“The world is exploring alternatives in a situation where supply chains are becoming increasingly difficult, and India can emerge as a reliable partner, as we are recognized that way,” he said.

Globally, recurrent waves of COVID-19 and the geopolitical effects of the Russo-Ukraine war have led to uncertainties on costs and supply chains, but have also delivered an unexpected “tailwind” for manufacturing.

“For electronics, I think it’s a tailwind, because it will push us to do more in semiconductor and electronics hardware,” Chowdhury said.

Chowdhary is one of the six founders of HCL. For the past five decades, he has been at the forefront of building the electronics industry in India. He is also a member of the newly constituted Advisory Committee which will provide necessary guidance to the officials of India Semiconductor Mission (ISM).

The panel will also provide insights and suggestions for developing a sustainable semiconductor and display ecosystem in India, while creating a resilient supply chain, promoting investments, financing mechanisms, global engagement, and research and innovation for the semiconductor and display ecosystem. will promote.

The government has launched an ambitious program of Rs 76,000 crore for the development of the semiconductor and display manufacturing ecosystem in the country. It aims to provide financial assistance to companies investing in semiconductors, display manufacturing and design ecosystems to strengthen India’s growing dominance in the global electronics value chains.

The program has four major schemes covering the setting up of semiconductor fabs (manufacturing plants) in India; installation of display fabs; Plans to set up Compound Semiconductors/Silicon Photonics/Sensor Fab and Semiconductor Assembly, Testing, Marking and Packaging (ATMP) facilities in India; As well as a Design Linked Incentive (DLI) component.

Anyway, the global semiconductor industry is facing shortages due to supply chain disruptions during the COVID period. Experts say the Russo-Ukraine war could cause additional disruption and affect the supply chain of semiconductors, as the warring nations are major sources of neon and hexafluorobutadiene gases (essential elements for making semiconductor chips as they are used in chip production). for lithography processes).

An IT industry veteran, Choudhary along with HCL founder Arjun Malhotra and semiconductor industry expert Satya Gupta have launched Epic Foundation, a non-profit organization aimed at revitalizing the Indian electronics industry by creating indigenous products and brands. .

“Our aim is to take Indian electronics into true self-sufficiency, from the design of electronics products to manufacturing, and the design and manufacture of semiconductor chips. We work with all industry associations, academia, industry and government to achieve the mission of the EPIC Foundation. Will work together.” Choudhary, who is the chairman of the newly-launched foundation.

The Epic Foundation is driving two main objectives – to create Indian electronics products and brands in the high-impact/high-volume categories; and increasing the demand for semiconductor chips by increasing volumes for Indian electronics products.

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