Indichip Semiconductors Ltd, in partnership with its joint venture ally Yitoa Micro Technology (YMTL) from Japan, has formalised an agreement with the Andhra Pradesh government to set up India’s inaugural private semiconductor manufacturing facility, backed by an investment of Rs 14,000 crore. This state-of-the-art facility is set to specialise in the production of Silicon Carbide (SiC) chips, thus contributing to India’s technological progress and sustainability objectives. The government of Andhra Pradesh has committed to providing land at the Orvakal mega industrial hub in Kurnool, alongside the essential infrastructure and ecosystem to ensure the success of this initiative.
Production Capacity and Strategic Significance
According to an official press release, “The new SiC fab facility will initially commence with a production capacity of 10,000 wafers per month, which is projected to expand to 50,000 wafers per month within two to three years. This investment aligns with India’s Atma Nirbhar Bharat vision and meets the rising global demand for energy-efficient technologies, electric vehicles, and renewable energy solutions.”
Official Remarks
The agreement was signed in the presence of key figures including Andhra Pradesh IT Minister Nara Lokesh and Industries Minister TG Bharat. Minister Lokesh commented, “This investment is a testament to Andhra Pradesh’s capability to attract leading industries through innovative policies and strong infrastructure.”