PM Modi Says India’s Semiconductor Ecosystem Is Expanding Rapidly, Creating New Opportunities for Innovation and Investment

Narendra Modi spoke at SEMICON India 2026 in New Delhi on 17 September, underlined the rapid growth of India’s semiconductor ecosystem as well as the potential for innovation, investment, manufacturing and technology development opportunities to be seen with the sector.

PM Modi at SEMICON India 2026 | Photo Credit: https://x.com/narendramodi
PM Modi at SEMICON India 2026 | Photo Credit: https://x.com/narendramodi

SEMICON India 2026 will be held on Sept. 17-19 at Yashobhoomi in New Delhi under the theme “Silicon to Systems: Building the Ecosystem.” This is the fifth edition of SEMICON India which will bring together companies, policymakers, investors, researchers, startups, institutions of higher education and students from the semiconductor and electronics value chain to discuss the field.

The Prime Minister’s comments come as India goes beyond semiconductor design and electronics assembly to advanced technology and capability development in a wider value chain. The focus is on chip design, fabrication, advanced packaging, semiconductor equipment and materials, research and development, electronics systems and talent development. The approach is in line with the increasing importance of semiconductors for artificial intelligence, automobiles, telecommunications, consumer electronics, high-performance computing and other digital technologies.

SEMICON India 2026 will be a platform for these developments to be exhibited and for Indian companies to interact with global technology players. According to official information, more than 600 companies and representatives from 52 countries will be present at the event with global and Indian industry leaders. The programme will include country pavilions, state government booths, startup pavilions, innovation showcases, a student hackathon and a workforce development pavilion.

The theme of the event “Silicon to Systems” is in line with the focus on an ecosystem not just a single semiconductor manufacturing facility. The new “Sand to Silicon to Systems” Value Chain Experience is intended to cover every stage of the semiconductor ecosystem from materials and equipment to chip design, fabrication, packaging and electronic systems.

India’s semiconductor push has also received policy support by way of Semicon 2.0, which was approved by the Union Cabinet in July 2026 with a total budget of ₹1.27 lakh crore. The programme, as outlined by the Prime Minister’s Office, encompasses chip design, semiconductor equipment and materials, fabrication facilities, advanced packaging, research and development and talent development.

The government has said that the second phase builds on progress made under the original Semicon India Programme. A total of 12 semiconductor projects have been approved under the programme, which has a total investment of more than ₹1.64 lakh crore as per government information. The projects have been on different parts of the semiconductor manufacturing chain and are in different states. Three facilities started commercial production by July 2026, according to the Ministry of Electronics and Information Technology.

Chip design is another key component of India's semiconductor strategy. In terms of government data, India has developed a large semiconductor design talent base, and startups and small companies have benefited from the Design Linked Incentive scheme. Academic programs and electronic design automation tools are also being used to increase the number of engineers and researchers working in the field.

The expansion of the semiconductor ecosystem can also provide opportunities beyond large chip fabrication plants. To do so, semiconductor manufacturing requires a network of suppliers for equipment, materials, specialty chemicals, industrial gases, testing, packaging, logistics and supporting electronics. There are opportunities for Indian startups, MSMEs and technology companies to join different parts of the supply chain.

As such, SEMICON India 2026 is significant not only for semiconductor manufacturers but also for companies involved in research, engineering, electronics, artificial intelligence and other technology sectors. This event will consist of short sessions on semiconductor manufacturing, advanced packaging, electronic components, artificial intelligence, display technologies, supply-chain resilience, sustainability, startup innovation and workforce development.

In recent years, the semiconductor sector has become strategically significant as chips are key components of the digital infrastructure of today's world. Supply chain disruption in recent years has caused governments and companies to diversify manufacturing and sourcing arrangements. India’s growing electronics manufacturing capacities and highly skilled engineering workforce are the reasons for attempting to enter a more integrated global semiconductor supply chain.

For India, the current focus is on developing capabilities along the entire value chain. Government policy documents describe the objective as building a globally competitive semiconductor ecosystem covering design, fabrication, assembly, testing, packaging, equipment, materials, research and talent.

The Prime Minister's SEMICON India 2026 address comes at a time when India is trying to turn policy support and investment announcements into manufacturing capacity, technological capabilities and skilled employment. The three-day course will allow companies and institutions to meet in the context of partnerships, investment opportunities and technology partnerships.

And while demand for semiconductor devices is rising with artificial intelligence, connected devices, electric mobility and advanced computing, the development of domestic capabilities is likely to remain a significant part of India’s technology and manufacturing agenda.

 

SEMICON India 2026 puts that holistic ecosystem approach in focus with its emphasis on moving from “silicon to systems” and connecting design, manufacturing, innovation and talent.

The semiconductor journey in India is also entering a phase focused not only on the local projects, but also on the network surrounding them. The developments presented at SEMICON India 2026 will be closely monitored by technology companies, investors, engineers, researchers and startups as the country strives to be a part of the global semiconductor value chain.