CALCULATE YOUR SIP RETURNS

India Unveils New Roadmap to Strengthen Semiconductor Ecosystem

Written by: Akshay ShivalkarUpdated on: 28 Jan 2026, 12:17 am IST
India outlines a renewed semiconductor strategy at Davos, highlighting expanded chip design capabilities and upcoming policy upgrades.
India Unveils New Roadmap to Strengthen Semiconductor Ecosystem
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

India has announced a fresh roadmap to reinforce its semiconductor ecosystem, marking a major step in the country’s ambition to build a globally competitive chip industry. Union IT and Electronics Minister Ashwini Vaishnaw shared the update during a session at the World Economic Forum in Davos.

He said India’s position in the global semiconductor space has improved significantly over recent years. He emphasised that the country has transitioned from scepticism to strong global confidence.

India’s Semiconductor Position Strengthens at Global Forum

Ashwini Vaishnaw said India’s standing in the global semiconductor environment has changed substantially in recent years. He explained that India is now gaining meaningful recognition from global industry leaders.

He noted that the shift from doubt to confidence reflects wider acceptance of India’s semiconductor initiatives. These remarks highlight growing international engagement with India’s chip‑related efforts.

Emerging Role of India’s IT And AI‑Driven Services

The Minister stated that the country’s IT sector is set to undergo a major transformation. He said the entire IT industry is expected to become the largest provider of AI services to global markets.

This development represents long‑term structural change in the way India’s technology sector will operate. He added that these shifts will position India as a central contributor to future digital and AI‑led innovation.

Launch Of Semicon 2.0 And Development of DLI 2.0

Ashwini Vaishnaw announced that Design Linked Incentive (DLI) 2.0 is currently being developed. He said the upgraded incentive scheme will be rolled out under the broader Semicon 2.0 programme.

He explained that during a semiconductor roundtable in Davos, industry leaders expressed strong satisfaction with India’s semiconductor programme. This feedback reinforces the growing confidence in India’s long‑term strategy for chip design and manufacturing.

Six Core Domains to Shape India’s Chip Design Strategy

The Minister outlined six critical technology areas that will form the foundation of India’s semiconductor design strategy. These areas include compute systems and microcontrollers, radio frequency technologies, cyber‑secure networking, power management systems, sensors and memory.

He said stronger capabilities across these domains will enable India to design chips suited for a wide range of applications. These applications include drones, automobiles and space technologies.

Read More: Indian IT Firms Hold 36% 0f Global IT Services Brand Value.

Conclusion

The roadmap introduced by India at Davos marks a significant moment in the country’s push to build a comprehensive semiconductor ecosystem. The Minister’s statements indicate deepening global confidence in India’s capabilities and demonstrate ongoing policy support for chip design and manufacturing.

The upcoming DLI 2.0 scheme and Semicon 2.0 programme are expected to accelerate India’s progress in this high‑value sector. The focus on core technology domains shows a targeted strategy aimed at long‑term technological and industrial expansion.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Jan 27, 2026, 6:42 PM IST

Akshay Shivalkar

Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers