Odisha targets $4 billion in semiconductor investments and AI infrastructure

Odisha is stepping up its efforts to become a major centre for semiconductor manufacturing and advanced technology, with 5 projects in the pipeline involving proposed investments of more than $4 billion. The plans include semiconductor fabrication and advanced 3D chip packaging, as the state looks to move beyond its traditional mining and metals industries.

Vishal Kumar Dev, Additional Chief Secretary of the Electronics and Information Technology Department, said 2 of the 12 projects approved under the India Semiconductor Mission are located in Odisha. These include India’s 1st compound semiconductor fabrication unit and its 1st advanced 3D chip packaging unit, both of which are progressing rapidly.

Dev said construction began within 6 to 8 months of the projects receiving approval. He described the state’s shift as a move from a “mine-based” to a “mind-based” economy, with a focus on semiconductors, AI data centres and global capability centres (GCCs).

Focus on advanced chip packaging and AI

Odisha is also exploring advanced packaging technologies, particularly glass-core technology, through collaborations with global companies such as Intel and 3D Glass Solutions.

Dev said data is important today, but computing capacity will become even more critical in the future. He added that Odisha is making progress in this area.

The state has also stepped up its AI initiatives by introducing an AI policy and launching the Odisha AI Mission. The programme is progressing quickly, alongside plans to establish a first-of-its-kind sovereign AI hub.

The initiative aims to ensure that AI is developed and deployed by, for and within Odisha.

Electronics and IT Minister Mukesh Mahaling highlighted the state’s potential as an investment destination. He cited its natural resources, surplus electricity, availability of land and water, and progressive industrial policies as key advantages.