India is preparing to launch a dedicated fund exceeding 1 trillion rupees (approximately $10.8 billion) to support its domestic semiconductor sector, according to reports on March 12. The initiative aims to position India as a global chip manufacturing hub.

The proposed fund will focus on subsidizing chip design projects, equipment procurement, and supply chain development. While details remain under discussion, an official announcement is expected within two to three months.

India currently hosts over 20,000 IC design engineers, with 23 of the world's top 25 semiconductor companies operating R&D centers in the country—a strong talent foundation for industry growth.

This new fund would extend India's existing $10 billion semiconductor incentive program launched in 2021, which covered half of chip project costs and attracted Micron to build packaging facilities in Gujarat.

Current Indian chip projects focus on less complex technologies, but the government aims to advance toward higher-value semiconductor products by 2032. Notably, Indian teams have completed 2nm chip design and tape-out, demonstrating advanced design capabilities.

ICgoodFind: India's massive chip fund leverages talent and policy to accelerate domestic semiconductor growth, reshaping global supply chain dynamics.