Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post

Cabinet Approves Kaynes’ ₹33.07 Billion Gujarat OSAT Facility

- Advertisement -

Another feather in India’s crown of semiconductor ecosystem gets added as domestic company Kaynes’ ₹33.07 billion OSAT unit in Sanand, Gujarat, receives a nod from the Union Cabinet.

The Union Cabinet has greenlighted Mysuru-based Kaynes Semicon Pvt Ltd to set up an outsourced semiconductor assembly and test (OSAT) facility in Sanand, Gujarat.

This project, involving an investment of ₹33.07 billion, is anticipated to produce 6.3 million chips daily, catering to various sectors such as automotive, electric vehicles, consumer electronics, telecommunications, and mobile phones.

- Advertisement -

The Centre will provide half of the total investment, amounting to ₹16.53 billion, while 20%, or ₹6.61 billion, will come from the Gujarat government. The company will self-finance the remaining 30%, which totals ₹9.92 billion. It secured funding for this project in December of the previous year.

At a press conference in New Delhi, Union Electronics and IT Minister Ashwini Vaishnaw announced that the Cabinet had approved Kaynes Semicon’s new plant, which will occupy 46 acres. He also mentioned that under design-linked incentives, 13 companies have begun chip and System-on-Chip design, with some receiving venture capital funding.

With this, Kaynes has become the fourth company in India to receive Union Cabinet approval. This initiative supports the Programme for Development of Semiconductors and Display Manufacturing Ecosystem in India, which was introduced in December 2021 with a budget outlay of ₹760 billion.

As reported by the Economic Times, Raghu Panicker, CEO of Kaynes Semicon, stated that the new facility will feature 13 assembly lines, incorporating wire-bond and substrate technologies, and will specialise in advanced packaging with co-packaged optics (CPO) in silicon photonics.

He added that, after the plant becomes operational, the company’s pricing will be more competitive than China’s due to government subsidies and production-linked incentives.

Additionally, an automated test equipment line will be established for Kaynes’ clients, positioning the company as a test engineering service provider for their OSAT customers.

Kaynes will collaborate with Infinipack on semiconductor packaging design and UST on automated test equipment.

It has already secured three customers, including two semiconductor firms from Taiwan and the US focusing on automotive packaging. LightSpeed Photonics is set to be its first paying client.

Panicker outlined a 100-day plan to establish the plant, including constructing a clean room, ordering machinery, and beginning construction. The land-levelling has been underway for a month, with base work completed in the past three to four months.

Soil and structural tests are finished, contractors are in place, and design work is complete. The company has hired around 25 senior executives and ten freshers from Women Beyond, a non-profit organisation, who are currently in training.

Earlier this year, in June 2023, the Union Cabinet approved the setup of several semiconductor facilities, including those by Tata Electronics in Dholera, Gujarat, and Morigaon, Assam, as well as another plant by CG Power in Sanand.

These projects are projected to draw investments of nearly ₹1.5 trillion and deliver a total production capacity of around 70 million chips per day. They are forecasted to begin commercial production by 2026.

Furthermore, Micron Technology, an American chipmaker, is establishing India’s first advanced semiconductor fabrication plant, also in Sanand, Gujarat, with expectations for it to be up and running by late 2024.

This brings the number of semiconductor facilities in development in India to four, including three in Gujarat and one in Assam.

This development is a response to the global chip shortages experienced during the COVID-19 pandemic, underscoring the urgent need for self-reliant semiconductor manufacturing.

It aligns with India’s goal of becoming a key player in the semiconductor industry, aiming to match the capabilities of major producers such as China, the US, South Korea, Taiwan, and Japan.

- Advertisement -

Most Popular Articles

Shubha Mitra
Shubha Mitra
Shubha is a journalist at EFY. She is keenly interested in India's evolving electronics ecosystem. Her focus revolves around government policies, legislation, and public-private partnerships related to the industry.

Infineon, Stellantis Partner To Advance Next-Gen Vehicle Power

0
With a dedicated Joint Power Lab and secured supply agreements, the partnership is set to drive transformative advancements in EV performance, cost-effectiveness, and the...

Audi Launches New EV Brand In China, Drops 4-Ring Logo

0
On Thursday, Audi introduced a new electric vehicle brand in China, branding the cars solely with the name 'AUDI' instead of its traditional four-ring...
IIT Bhubaneswar

IIT Bhubaneswar Partners MOSart Labs To Boost Engineering Skills In Chip Industry

0
The aim is to help students with essential skills in areas such as very-large-scale integration (VLSI), semiconductor technology, analog and digital design, validation, and...
Jaguar concept EV

JLR Highlights Its Biggest Reinvention With The Concept Car Jaguar Design Vision

0
The four-door GT is anticipated to be Jaguar's most powerful model to date. Its targeted range is approximately 430 miles (700 kilometers), and its...

ISE Labs Expands With New OSAT Facility In Mexico

0
Turbocharging its growth in North America’s tech hub, ISE Labs is set to build an OSAT semiconductor facility in Jalisco, Mexico, eyeing to create...

“Adoption Of IoT-Enabled SMT Machines Is Still In Early Phases” – Pradeep Tandon, Director...

0
While electronics are becoming smarter through the Internet of Things, is electronics manufacturing following suit? Pradeep Tandon, Director for India, Middle East, and SAARC...
Dr Yashodhan P. Gokhale, Vice President for Battery Technology, JSW Energy

Charge Forward: High-Voltage Batteries And MSMEs Can Fuel India’s EV Revolution

0
A nuanced explanation of low- and high-voltage EV batteries by Dr Gokhale, Vice President for Battery Technology at JSW Energy, illuminates their advancements and...
Sanjay Gupta, CDO & Global Head of Engineering, L&T Semiconductor Technologies

Can MSMEs Contribute And Profit From The Semicon Boom?

0
Semiconductor manufacturing often requires significant investment, typically feasible only for governments or large corporations. But are there opportunities for MSMEs as well? We spoke...
N.P. Ramesh, COO and Co-Founder, Orb Energy

“We Ensured Customers’ Monthly EMI Would Be Equal To Or Less Than Their Electricity...

0
In a conversation with Nitisha from EFY, N.P. Ramesh of Orb Energy outlines the early financing challenges customers faced. He explains how Orb Energy’s...

“Government Policy Should Equitably Address All Electric Vehicles: Extend Subsidies To Retrofits Or Remove...

0
Aryaman Raghuvanshi from EFY engages with Pramod Narendra, Head of Brand Management and Retail Network at Starya Mobility, to explore the overlooked potential of...

Wireless Light-Based Communication With Velmenni’s Technology

0
Velmenni is at the forefront of wireless communication innovation with its pioneering light-based technologies, Li-Fi and LC Link. Founded by Deepak Solanki in October 2014...

Harnessing AI Technology For Efficient Pest Management

0
AI-Genix, an agri-tech startup, is transforming pest management for farmers through advanced AI-enabled systems that precisely target harmful pests. In an industry where pesticides and...

One Charger To Charge All Your Devices

0
Now, there is no need to carry different chargers for different products. This Bhubaneswar startup has launched a universal 65W charger using GaN technology...

Karnataka Government Initiative Promises ₹5M To Tech Startups

0
Boosting innovation and entrepreneurship across the state’s vibrant ecosystem, Karnataka launched Elevate 2024 and KAN, offering grants up to ₹5 million for startups. On Tuesday,...

CastNX Tech Startup Secures ₹232M For Power Electronics Growth

0
Eyeing to boost R&D and produce 100,000 variable frequency drives by 2026, Indian power electronics startup CastNX has secured ₹232.2 million from Plutus Investments. CastNX...

Industry's Buzz

Infineon, Stellantis Partner To Advance Next-Gen Vehicle Power

0
With a dedicated Joint Power Lab and secured supply agreements, the partnership is set to drive transformative advancements in EV performance, cost-effectiveness, and the...

Audi Launches New EV Brand In China, Drops 4-Ring Logo

0
On Thursday, Audi introduced a new electric vehicle brand in China, branding the cars solely with the name 'AUDI' instead of its traditional four-ring...
IIT Bhubaneswar

IIT Bhubaneswar Partners MOSart Labs To Boost Engineering Skills In Chip Industry

0
The aim is to help students with essential skills in areas such as very-large-scale integration (VLSI), semiconductor technology, analog and digital design, validation, and...
Jaguar concept EV

JLR Highlights Its Biggest Reinvention With The Concept Car Jaguar Design Vision

0
The four-door GT is anticipated to be Jaguar's most powerful model to date. Its targeted range is approximately 430 miles (700 kilometers), and its...

ISE Labs Expands With New OSAT Facility In Mexico

0
Turbocharging its growth in North America’s tech hub, ISE Labs is set to build an OSAT semiconductor facility in Jalisco, Mexico, eyeing to create...

Learn From Leaders

“Adoption Of IoT-Enabled SMT Machines Is Still In Early Phases” – Pradeep Tandon, Director...

0
While electronics are becoming smarter through the Internet of Things, is electronics manufacturing following suit? Pradeep Tandon, Director for India, Middle East, and SAARC...
Dr Yashodhan P. Gokhale, Vice President for Battery Technology, JSW Energy

Charge Forward: High-Voltage Batteries And MSMEs Can Fuel India’s EV Revolution

0
A nuanced explanation of low- and high-voltage EV batteries by Dr Gokhale, Vice President for Battery Technology at JSW Energy, illuminates their advancements and...
Sanjay Gupta, CDO & Global Head of Engineering, L&T Semiconductor Technologies

Can MSMEs Contribute And Profit From The Semicon Boom?

0
Semiconductor manufacturing often requires significant investment, typically feasible only for governments or large corporations. But are there opportunities for MSMEs as well? We spoke...
N.P. Ramesh, COO and Co-Founder, Orb Energy

“We Ensured Customers’ Monthly EMI Would Be Equal To Or Less Than Their Electricity...

0
In a conversation with Nitisha from EFY, N.P. Ramesh of Orb Energy outlines the early financing challenges customers faced. He explains how Orb Energy’s...

“Government Policy Should Equitably Address All Electric Vehicles: Extend Subsidies To Retrofits Or Remove...

0
Aryaman Raghuvanshi from EFY engages with Pramod Narendra, Head of Brand Management and Retail Network at Starya Mobility, to explore the overlooked potential of...

Startups

Wireless Light-Based Communication With Velmenni’s Technology

0
Velmenni is at the forefront of wireless communication innovation with its pioneering light-based technologies, Li-Fi and LC Link. Founded by Deepak Solanki in October 2014...

Harnessing AI Technology For Efficient Pest Management

0
AI-Genix, an agri-tech startup, is transforming pest management for farmers through advanced AI-enabled systems that precisely target harmful pests. In an industry where pesticides and...

One Charger To Charge All Your Devices

0
Now, there is no need to carry different chargers for different products. This Bhubaneswar startup has launched a universal 65W charger using GaN technology...

Karnataka Government Initiative Promises ₹5M To Tech Startups

0
Boosting innovation and entrepreneurship across the state’s vibrant ecosystem, Karnataka launched Elevate 2024 and KAN, offering grants up to ₹5 million for startups. On Tuesday,...

CastNX Tech Startup Secures ₹232M For Power Electronics Growth

0
Eyeing to boost R&D and produce 100,000 variable frequency drives by 2026, Indian power electronics startup CastNX has secured ₹232.2 million from Plutus Investments. CastNX...