India is moving ahead with its ambitions in semiconductors and artificial intelligence, with several chip manufacturing units expected to begin commercial production and a strong policy push under the IndiaAI Mission. Union Minister for Electronics and Information Technology Ashwini Vaishnaw shared these details in an email interview with a national business daily, explaining how the country aims to become a major global technology player.
The minister said the semiconductor sector is growing fast, driven by rising demand from artificial intelligence, electric vehicles and consumer electronics. India has already approved 10 semiconductor related units. Four plants, CG Semi, Kaynes Technology, Micron Technology and Tata Electronics facility in Assam, are likely to start commercial production in 2026.
He added that progress is also being made in chip design and talent development. At present, 23 startups are working on design projects, while skill programmes have been rolled out across 313 universities. Equipment makers are also setting up manufacturing units in the country, which is helping to build a strong local ecosystem.
According to Vaishnaw, these combined efforts will position India as an important semiconductor player by 2028. He said the years after that will be crucial, as growth is expected to reach a tipping point. By 2032, India aims to become one of the major global chip hubs, with the capability to produce 3 nanometre chips.
On artificial intelligence, the minister said it represents the fifth industrial revolution and will reshape society and industry. He stressed that building sovereign capability in AI is a national priority.
Addressing concerns about the use of domestic chip packaging and fabrication capacity, he said new industries often face initial market challenges. Long term success, he noted, will depend on quality and competitive pricing.
The minister also said Indian engineers are working across all layers of the AI stack, from applications and models to chipsets, infrastructure and energy. Twelve teams under the IndiaAI Mission are developing foundational models, while large investments are being made in infrastructure, supported by clean energy.
He added that the PLI scheme for electronic components is gaining momentum and will help expand manufacturing beyond smartphones into sectors such as AI hardware, automotive, medical and industrial electronics.
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