India Semiconductor Mission-2: Govt to Support Chip Designs
India is planning a second phase of its Semiconductor Mission (ISM), focusing on supporting ambitious chip designs and advanced packaging. The government is also considering providing incentives for semiconductor manufacturing and packaging.

Illustration: Dominic Xavier/Rediff.com
Gandhinagar, Mar 6 (PTI) The government is ready with an outline of next phase of India Semiconductor Mission (ISM) and discussions are on internally for its rollout, a senior government official said on Thursday.
Speaking at IESA Vision Summit, Ministry of Electronics and IT Secretary S Krishnan said the government is also mulling supporting ambitious chip design projects in the country as well as semiconductor packaging designs.
"The next stage of ISM is in the works. We have had discussions, discussions with many of the stakeholders, including many amongst you, as to how to design the programme. The design and the outline is ready, and there's undergoing detailed discussions internally in the government," he said.
Krishnan in his virtual speech said that the second phase of ISM proposes to provide support for gases and other elements that are required for semiconductor production.
He said that the first phase of ISM had a total outlay of Rs 76,000 crore comprising Rs 65,000 crore for chip manufacturing and packaging units, Rs 10,000 crore for modernising semiconductor lab at Mohali and Rs 1,000 crore for the design-linked incentive scheme.
"We have committed more than Rs 60,000 crore to the five major units which are currently under construction. In addition, we have a few more projects which are under evaluation and are expected to be awarded quickly ," Krishnan said.
He said there is a need to provide more support to make the fabless ecosystem work more efficiently.
"The design link incentive scheme is undergoing further changes to ensure that it is in a position to support more ambitious design-linked innovations and design initiatives in the country. In addition to designing the chips itself, there is also packaging design which needs to go alongside. We have to really look at how advanced packaging can be supported through the design link scheme as well," Krishnan said.
Speaking at IESA Vision Summit, Ministry of Electronics and IT Secretary S Krishnan said the government is also mulling supporting ambitious chip design projects in the country as well as semiconductor packaging designs.
"The next stage of ISM is in the works. We have had discussions, discussions with many of the stakeholders, including many amongst you, as to how to design the programme. The design and the outline is ready, and there's undergoing detailed discussions internally in the government," he said.
Krishnan in his virtual speech said that the second phase of ISM proposes to provide support for gases and other elements that are required for semiconductor production.
He said that the first phase of ISM had a total outlay of Rs 76,000 crore comprising Rs 65,000 crore for chip manufacturing and packaging units, Rs 10,000 crore for modernising semiconductor lab at Mohali and Rs 1,000 crore for the design-linked incentive scheme.
"We have committed more than Rs 60,000 crore to the five major units which are currently under construction. In addition, we have a few more projects which are under evaluation and are expected to be awarded quickly ," Krishnan said.
He said there is a need to provide more support to make the fabless ecosystem work more efficiently.
"The design link incentive scheme is undergoing further changes to ensure that it is in a position to support more ambitious design-linked innovations and design initiatives in the country. In addition to designing the chips itself, there is also packaging design which needs to go alongside. We have to really look at how advanced packaging can be supported through the design link scheme as well," Krishnan said.
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