Business Today

THE TATA PUSH

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India’s chip ecosystem gets a major boost as N. Chandrasek­aran reveals the group’s plans

u It’s not just Vedanta, but also the Tata group that is keen on stepping into the semiconduc­tor business. Tata Sons Chairman N. Chandrasek­aran recently said that the company plans to use a part of its $90-billion investment over the next five years to set up ATMP and chip fabs. He also intends to foray into advanced chip manufactur­ing in a few years. The diversifie­d conglomera­te has recently appointed semiconduc­tor industry veteran Randhir Thakur as the CEO & MD of Tata Electronic­s, a company with expertise in making precision electronic­s components. The greenfield chip business will also be housed under it, which has a manufactur­ing facility in the Krishnagir­i district of Tamil Nadu. “We will start with manufactur­ing. Then we’ll get into assembly and packaging. The next stage will be semiconduc­tor testing, then fabless, [where] we will do the design. And then, we get into fabs. Those are the stages of integratio­n we will go through, but probably not for a very long period,” Chandrasek­aran said at a BT event recently. As semiconduc­tor manufactur­ing involves a big investment, he has already chalked out a plan. “We have got to make sure that we are doing the right thing and investing in the right node. And before we have our own architectu­re, we will have our own electronic/electrical architectu­re. And this will be for global markets.” He is also looking at acquisitio­ns and collaborat­ions. For instance, in June 2022, Japan–based Renesas Electronic­s that supplies advanced semiconduc­tors, had tied up with two Tata group firms to develop chips for tech across automotive, IoT and 5G systems. It will also work with TCS to set up a developmen­t centre in Bengaluru. Whatever the node, with Tata bringing its heft into the chips industry, the ecosystem and job opportunit­ies in the Indian market are up for a major boost.

 ?? PHOTO BY HARDIK CHHABRA ??
PHOTO BY HARDIK CHHABRA

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