In its quest to deepen roots in the global semiconductor space, Tata Electronics is reportedly in advanced conversations to purchase a chip-making or outsourced semiconductor assembly and testing facility in Malaysia. The technology arm of the Indian conglomerate is said to be exploring possibilities with international players including X-Fab, Globetronics, and DNeX, as it works toward building global expertise and drawing from Malaysia’s long-standing leadership in the chip ecosystem.
This move is in step with Tata Electronics’ larger ambition of building a cutting-edge semiconductor packaging and manufacturing ecosystem in India. By acquiring a mature facility overseas, the company hopes to absorb not just infrastructure but decades of operational intelligence, setting the stage for smooth implementation of its mega semiconductor projects back home.
Malaysia, with its well-rooted assembly, testing, and packaging network, presents the perfect launchpad. The country’s skilled talent pool and its forward-thinking National Semiconductor Strategy, rolled out in May 2024, offer a nurturing environment backed by strong policy incentives to lure global investors into the chip-making space.
Back on Indian soil, Tata Electronics has already announced massive investments. These include a ₹91,000 crore semiconductor fabrication unit in Gujarat’s Dholera and an OSAT project worth ₹27,000 crore in Morigaon, Assam. The Malaysian foray is expected to add global muscle and accelerate the Tata’s ability to roll out high-efficiency, future-proof tech infrastructure within India.
By bridging continents with technology and strategy, Tata Electronics is not just building factories—it is scripting a new chapter in India’s high-tech manufacturing legacy.
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