US chip giant Micron Technology Inc. plans to invest up to $825 million, which is approximately equivalent to Rs 6,765 crore, in a new chip assembly and test facility located in Gujarat state, India.
This manufacturing plant is Micron's first in India and involves a total estimated investment of $2.75 billion, approximately equal to Rs 22,550 crore.
The central government will contribute 50% of the investment, and Gujarat state will provide 20%.
Semiconductor Chip
Micron's new chip facility announcement received a positive response from stakeholders, including India's IT and telecom minister, Ashwini Vaishnaw.
He anticipates transformative effects, creating numerous high-tech and construction jobs.
Minister Vaishnaw showcased Micron's semiconductor technology during a media briefing. Vaishnaw expressed optimism that Micron.
Technology plans to begin producing domestically manufactured chips in India within the next six quarters.
The construction of the plant is expected to be completed in a remarkable six quarters, targeting operational readiness by late 2024.
Micron's investment in India follows a meeting between Prime Minister Narendra Modi and Micron CEO Sanjay Mehrotra in the US.
Mehrotra expressed optimism about the "greater opportunities" in India and praised the country's efforts to develop a strong semiconductor ecosystem.
Micron revealed that construction of the assembly and test facility in Gujarat will begin in 2023. Phase 1 will involve 500,000 square feet of cleanroom space, with operations starting in late 2024.
This phase is expected to generate around 5,000 direct jobs and 15,000 community jobs in the coming years.