Tata Electronics Signs 7 MoUs with Semiconductor Firms; Applied Materials Commits $5 Billion

Tata Electronics signed seven Memoranda of Understanding (MoUs) at Semicon India 2026 with companies involved in different parts of the semiconductor industry, as per news reports. The agreements include Nexperia of the Netherlands and Japan-based Fujifilm. 

The value of the seven agreements was not disclosed. Fujifilm has committed ₹800 crore to build a semiconductor materials plant next to Tata Electronics’ chip fabrication unit at Dholera in Gujarat. 

Applied Materials Commits $5 Billion 

US semiconductor equipment maker Applied Materials said it will invest $5 billion in India over the next 10 years. The investment comes under its Applied Materials India Vision 2035 plan. 

Prabhu Raja, President of Applied Materials’ Semiconductor Products Group, said the spending will cover research and development, supply chain expansion and talent development. 

140-Acre Research Park Planned 

The company also announced a 140-acre advanced semiconductor research park in India. The proposed site will include cleanroom facilities and engineering capacity, along with research work involving customers and suppliers. 

Applied Materials said it plans to increase its India-based supply chain capacity tenfold by 2035. The company had earlier established a semiconductor engineering capability centre and ordered India’s first 300-millimetre lab in 2024. 

Semicon 2.0 Investment Commitments 

Union IT Minister Ashwini Vaishnaw said investment commitments under Semicon 2.0 had reached $11-12 billion, equivalent to around ₹1 trillion. These investments are to be made over the next two to three years. 

India has committed more than $21 billion through two semiconductor incentive programmes. Under Semicon 1.0, 12 projects received incentives, while five have started commercial production. 

Focus Expands Beyond Assembly 

The five projects currently producing commercially are in chip testing, packaging and assembly. Tata Electronics’ Dholera fabrication plant is expected to take until at least 2028 to become operational. 

Semicon 2.0 also covers chip equipment, materials, gases, and chemicals. The government plans to increase the number of chip-design startups and companies to at least 200, compared with more than 105 under the first phase. 

Read More: Micron’s Gujarat Plant Set to Produce Hundreds of Millions of Chips in 2027! 

Conclusion 

The latest announcements add investment commitments across semiconductor equipment, materials, research and manufacturing. Large-scale fabrication capacity in India, however, is still being developed. 

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