NEW DELHI (Diya TV) — India’s semiconductor chip market is on track to become one of the largest in the world, with projections showing it could reach $100 billion to $110 billion by 2030. The growth comes as the world moves toward greater digitalization and automation, fueling the demand for chips that power modern electronics.
Semiconductors are the backbone of today’s technology. They act as the hidden brains inside devices, storing, processing and transferring information. From enabling phone calls to processing data, chips make electronics smarter and faster.
India’s technological advancements are already proving their strength. During the Chandrayaan-3 mission, the Vikram lander used Indian-made technology and artificial intelligence to locate a safe landing site on its own. The lander made complex decisions in real time, a capability powered by chips.
Currently, Taiwan, South Korea, Japan, China and the United States dominate semiconductor manufacturing. Taiwan leads the market, producing more than 60% of the world’s chips and nearly 90% of the most advanced ones.
India is emerging as a strong contender in this global race. Industry estimates put the country’s semiconductor market at $38 billion in 2023 and between $45 billion and $50 billion for 2024–2025. The surge reflects growing domestic demand and a government push to strengthen local production.
To build a competitive semiconductor ecosystem, the Indian government has launched initiatives such as the Electronics Systems Design and Manufacturing program, the India Semiconductor Mission and the Semicon India program.
In December 2021, the Union Cabinet approved the India Semiconductor Mission with a budget of ₹76,000 crore (nearly $900 million). The mission aims to provide financial support for investments in semiconductor fabrication, display manufacturing and chip design. It also seeks to integrate India into global electronics value chains and establish the country as a hub for electronics manufacturing and design.
Skill development is another key priority. The government has started training programs, workshops and certification courses to strengthen the talent pipeline. A national program is underway to train 85,000 engineers in advanced semiconductor and electronics manufacturing, preparing the workforce for future demand.
India’s semiconductor sector is attracting significant investment. In May 2025, the Union Cabinet approved a new semiconductor unit through a joint venture between HCL and Foxconn. This facility will manufacture display driver chips for devices such as smartphones, laptops, automobiles and personal computers.
Startups are also entering the market with innovative solutions. In July 2025, Netrasemi, a company supported under the government’s chip design scheme, secured ₹107 crore in venture capital funding. The startup is developing chips for smart vision, CCTV cameras and Internet of Things (IoT) applications.
India’s push into the semiconductor industry aims to meet rising demand and reduce dependence on imports. By building local manufacturing capabilities, the country is moving from being a major consumer of chips to becoming a key player in the global semiconductor value chain.
