In order to expand its chipset manufacturing in the state, Tamil Nadu-based Polymatech has announced an investment of $1 billion.
Nandam Eswara Rao, Founding President of Polymatech, said that the facility’s first phase would have the capacity to produce 250 million chips per year.
Rao added that the company has filed for a 25% subsidy on capital expenditure through the government’s production-linked incentive (PLI) scheme for semiconductor manufacturing, and has received “in-principle approval” for its first phase of investment. Under this phase, Polymatech has signed a memorandum of understanding (MoU) with the Tamil Nadu government, and made an investment of $130 million to expand its facility in the state.
Polymatech claimed that its semiconductor manufacturing and packaging facility will start producing chips within the next “couple of weeks”.
On 20 July, Rajeev Chandrasekhar, union minister of state for electronics and information technology (IT), told Parliament that the Ministry of Electronics and IT (Meity) had received 23 applications for the semiconductor PLI scheme. Announced in December last year, the scheme offered incentives of up to Rs. 2.3 lakh crore, in a bid to attract firms engaged in semiconductor manufacturing, testing, packaging and design.