Tata Electronics, a subsidiary of Tata Sons, has signed a key technology transfer deal with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC), Tata Group said in a statement. Under the agreement, PSMC will help design and build a greenfield Fab in Dholera, Gujarat. They will also license various technologies and provide engineering support to ensure the successful setup of the Fab. With an investment of up to Rs 91,000 crore, the project is expected to create over 20,000 skilled jobs.
The agreement with PSMC states that it will provide design and construction expertise for the greenfield fab, which will generate a monthly production capacity of up to 50,000 wafers. It will be India’s first AI chip semiconductor fab, supporting advanced factory automation incorporating data analytics and machine learning to optimise efficiency. The new semiconductor fab will manufacture chips for power management ICs, display drivers, microcontrollers, and high-performance computing, meeting growing demands in AI, automotive, computing, data storage, and wireless communication.
N Chandrasekaran, chairman of Tata Sons, expressed enthusiasm about partnering with PSMC, highlighting that their technology will accelerate semiconductor manufacturing in India. He described the collaboration as a milestone that will foster innovation and strengthen the global semiconductor supply chain, positioning Tata Electronics to serve global customers effectively. Dr. Frank Huang, chairman of Powerchip Group and CEO of PSMC, further emphasised their commitment to providing advanced technology for the new Fab in Gujarat. He noted that the partnership benefits both companies, supports India’s self-reliance in semiconductor manufacturing, and enhances India-Taiwan collaboration in the sector.
