Tata Group Inks Intel as Major Customer for $14 Billion Chip Foray

Tata Electronics has identified Intel as the first major customer for its semiconductor programme, as per Reuters.  

The company is building a chip fabrication plant in Dholera, Gujarat, and an assembly and testing facility in Jagiroad, Assam. As per news reports, together, the investments total roughly $14 billion, forming the core of India’s current semiconductor manufacturing push. 

Facilities and Expected Timelines 

The Assam unit is scheduled to begin initial operations by April 2026. The Gujarat fab is targeted for mid-2027 for its 1st round of production.  

Intel, which operates its own fabs and also relies on external manufacturers, will use Tata’s facilities for chip assembling and testing. A Gartner April 2025 report ranked Intel as the third-largest chipmaker globally. 

Device Assembly Plans 

Alongside chip work, Tata will assemble laptops and desktops fitted with Intel processors at its domestic plants.  

Both firms noted that India’s PC market is expected to enter the global top five by 2030, driven by demand for devices with advanced processing capacity.  

Tata’s Position in Electronics Manufacturing 

Tata Electronics already plays a role in device assembly in India. It works as an EMS partner for Apple and is estimated to handle about one-third of iPhone output in the country, based on figures from Counterpoint Research.  

The company recorded ₹66,601 crore in revenue in FY25 and is projected to report higher numbers this year with increased assembly volumes. 

Read More: Best Semiconductor Stocks in December 2025: ASM Technologies, CG Power and More Based on 5-Year CAGR! 

Conclusion 

The Intel agreement gives Tata its first disclosed client for these facilities, setting the stage for the company’s entry into large-scale chip manufacturing once both plants are operational. 

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