Tokyo Electron partners with Tata Electronics to grow semiconductor ecosystem in India

Japanese electronics and semiconductor company Tokyo Electron has signed a memorandum of understanding (MoU) with India's Tata Electronics. 

The two companies will collaborate to accelerate semiconductor equipment infrastructure for India's first Fab being built by Tata Electronics in Dholera, Gujarat, and for its assembly and test facility in Jagiroad, Assam. 

Focusing on training the workforce

Through this partnership, TEL and Tata Electronics will also focus on training Tata Electronics' workforce on TEL equipment and supporting ongoing improvement and R&D initiatives.

The collaboration will leverage the strengths of both companies to establish a robust semiconductor manufacturing ecosystem in India.

Building India's first Fab in Gujarat

Tata Electronics earlier announced that it is building India's first Fab in Dholera, Gujarat, with a total investment of Rs 91,000 crore ($11 billion).

In addition, the company will invest Rs 27,000 crore ($3 billion) in a greenfield facility in Jagiroad, Assam, for the assembly and testing of semiconductor chips.

Together, these facilities will produce semiconductor chips for applications across automotive, mobile devices, artificial intelligence (AI), and other key segments to serve customers globally. 

Leadership comments

"We have a bold vision of becoming a leader in electronics manufacturing by offering integrated solutions across the value chain to our global customers. TEL has a history of working closely with its customers, and its expertise in the semiconductor equipment space will help build a dynamic ecosystem to support the timely execution of bringing up our Fab and advanced packaging factories. We are excited about the customer centricity that TEL brings to this partnership," said Dr Randhir Thakur, Managing Director & CEO, Tata Electronics.

"We are delighted to announce our partnership with Tata Electronics, which brings together our combined expertise and resources to strengthen the semiconductor ecosystem in India significantly. This strategic collaboration spans both front-end fabrication and back-end packaging technologies, highlighting our commitment to delivering exceptional support and value to Tata Electronics," said Toshiki Kawai, President & CEO of Tokyo Electron, added.

"By leveraging our collective strengths, we aim to accelerate development and drive innovation across multiple technology nodes. Together, we are poised to set new benchmarks in the industry, fostering a robust and dynamic semiconductor landscape that will benefit all stakeholders," Kawai added.

Focused in supporting the Indian semiconductor ecosystem

TEL said it is committed to supporting the Indian semiconductor ecosystem. Both the front-end and back-end product groups will provide resources and technology support to bring advanced TEL products to the Indian market.

The Japanese company will lead this effort with Tata Electronics by offering diversified products for the MAGIC market (MAGIC—Metaverse, Autonomous Mobility, Green Energy, IoT & Information, Communications).

Additionally, it will actively explore opportunities to leverage India's talent to establish engineering services in India to support its global product development.