Tata group is planning to invest up to $300 million to setup a semiconductor assembly and test unit. Tata is in talks with southern states of Tamil Nadu, Karnataka and Telangana for land to setup the outsourced semiconductor assembly and test (OSAT) plant.
An OSAT plant packages, assembles and tests foundry-made silicon wafers, turning them into finished semiconductor chips.
This move by Tata aligns with “Make in India” drive for electronics manufacturing. Potential clients of Tata’s OSAT business include companies such as Intel, Advanced Micro Devices (AMD) and STMicroelectronics.
The factory is expected to start operations by late 2022 and could employ up to 4,000 workers. Separately, Tata is already building a high-tech electronic manufacturing facility in southern Tamil Nadu state.