In a landmark move to strengthen India’s semiconductor ecosystem, global chip giant Intel has signed a major agreement with India’s iconic conglomerate Tata Group. Under this partnership, advanced semiconductor chip manufacturing and assembly will begin in India, marking a historic step toward making the country a global chip-production hub.

This collaboration will also focus on India’s rapidly expanding AI PC market, giving a powerful boost to the government’s Make in India and Atmanirbhar Bharat (self-reliant India) vision.

Chip Manufacturing in India Will Get a Major Boost

As part of the agreement:

• Intel’s advanced chips will be manufactured and packaged in India

• Production will take place at **Tata Electronics’ new:

  • Fab (fabrication) plant

  • OSAT (Outsourced Semiconductor Assembly and Test) facilities

Until now, India has heavily depended on imported semiconductor chips. This deal is expected to significantly reduce import dependency and make India a serious player in the global semiconductor supply chain.

Massive Semiconductor Plants in Gujarat & Assam

The Tata Group is setting up:

• A semiconductor fabrication plant in Dholera, Gujarat

• An assembly and packaging unit in Assam

The total investment in these two projects is estimated at ₹1.18 lakh crore, making it one of the largest industrial investments in India’s technology sector.

Key Impact

• Creation of thousands of direct and indirect jobs

• Development of a high-tech manufacturing ecosystem

• Strong positioning of India in the global chip supply network

India’s AI PC Market Set for Explosive Growth

Intel and Tata also highlighted that:

• India could become one of the world’s Top 5 AI PC markets by 2030

• Intel will provide:

  • AI compute reference designs

• Tata Electronics will support with:

  • Large-scale manufacturing & assembly services

With rising PC demand, AI adoption in enterprises, and digital transformation, India is expected to become a major growth engine for AI-powered personal computers.

What Intel & Tata Leadership Said

Intel CEO on the Deal

Lip-Bu Tan, CEO of Intel Corporation, said:

This partnership is a significant opportunity to support India’s rapidly growing AI adoption and strengthen the global semiconductor supply chain.

Tata Group Chairman’s Statement

N. Chandrasekaran, Chairman of Tata Sons, said:

This collaboration will strengthen India’s technology ecosystem and help deliver advanced semiconductor solutions to the world.

He added that the partnership will boost global recognition of Indian technology and manufacturing capabilities.

Why This Deal Is a Game Changer for India

• First major Intel-backed chip manufacturing in India

• Strengthens India–global tech partnerships

• Reduces dependence on China & Taiwan for chips

• Boosts AI, electronics, and high-performance computing industries

• Lays the foundation for India’s semiconductor superpower ambitions