The government plans to modernise and upgrade the semiconductor lab (SCL) at Mohali, the only government-owned semiconductor fabrication unit. The SCL will be one of the beneficiaries of the government’s $10 billion production-linked incentive (PLI) scheme for semiconductor and display board production.
To this end, the Ministry of Electronics and Information Technology (MeitY) has floated a request for proposal (RFP). According to the RFP, the selected bidder will act as an advisor and also be responsible for the identification of business partners for the modernisation and commercialisation of the SCL. As per the terms of the RFP, the bidders shall strategise the execution roadmap. Besides, the bidders also need to onboard a commercial partner for the fabrication of chips developed by the SCL.
According to industry sources, the bidders will also be responsible for developing a business plan, go-to-market strategy and design of operating model, including identification and assessment of the top list of potential partners (both Indian and global) across the semiconductor value chain. The SCL is responsible for the design and development of very-large-scale integration (VLSI) devices and the development of systems for the telecommunication and space sectors. The government is modernising the existing SCL as part of the effort to set up the latest manufacturing facility for making semiconductors.
The Union Cabinet accorded approval for the modernisation and commercialisation of the SCL on December 15, 2021, which includes exploration of the possibility of a joint venture with a commercial fabrication partner(s) to modernise the brownfield fabrication facility.