Tata Electronics, TCS to develop India's first domestic chips by 2026

Tata Consultancy Services (TCS) is partnering with Tata Electronics Pvt Ltd to support India's goal of producing its first domestically manufactured chips by 2026. According to TCS's vice-president, Mr. Sreenivasa Chakravarti, TCS is involved in multiple aspects of semiconductor design and engineering, while Tata Electronics leads the development of chip manufacturing. The collaboration will also provide software solutions and intellectual property (IP)-based products for the semiconductor sector, marking a major milestone in India's semiconductor initiative.

Tata Electronics is spearheading two key semiconductor projects, including an US$ 11 billion chip manufacturing plant in Dholera, Gujarat, in partnership with Taiwan's Powerchip Semiconductor (PSMC), with an initial capacity of 50,000 wafers per month, and a US$ 3.26 billion chip assembly and testing facility in Assam, expected to deliver chips by late 2025 or early 2026. TCS, while already recognized for its expertise in semiconductor design and software development, has not yet ventured into chip manufacturing, unlike HCL Technologies, which announced a joint venture with Foxconn for a chip testing facility. These efforts are aimed at closing the gap between design and manufacturing in India's semiconductor sector.

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