India’s ambitious semiconductor manufacturing push is set to begin with mature 90-nanometre (90nm) process technology, as Tata Electronics prepares to start production at its upcoming fabrication plant in Dholera, Gujarat. The move marks a phased approach to building the country’s first large-scale semiconductor fabrication facility, with the company planning to expand to more advanced 28nm technology in subsequent stages.
The Dholera fab, being developed through a partnership between Tata Electronics and Taiwan’s Powerchip Semiconductor Manufacturing Corp. (PSMC), is a cornerstone of India’s semiconductor mission aimed at reducing dependence on imported chips and establishing a domestic semiconductor ecosystem.
Phased Rollout Begins with 90nm Technology
While earlier expectations suggested the facility would begin production with 28nm chips, Tata Electronics clarified that its roadmap has always involved a phased rollout. The company said manufacturing will initially focus on 55nm and 90nm process technologies, before introducing 28nm production as the plant scales up operations.
Mature semiconductor nodes such as 90nm continue to power a wide range of products, particularly in industries where reliability, cost efficiency, and long product lifecycles are more important than cutting-edge performance.
Semiconductor Roadmap at Dholera
| Process Node | Primary Applications | Status |
|---|---|---|
| 90nm | Automotive electronics, industrial equipment, power management | Initial production |
| 55nm | Industrial and embedded applications | Planned |
| 28nm | Smartphones, networking, consumer electronics, AI edge devices | Later phase |
Why Tata Is Starting with Older Chip Technology
Although 90nm technology is significantly less advanced than the 3nm and 2nm processes used in flagship smartphones and AI accelerators, it remains widely deployed across multiple industries.
Chips manufactured on mature nodes are commonly used in:
- Automotive electronics
- Industrial automation
- Power management integrated circuits (PMICs)
- Display driver ICs
- Microcontrollers
- Consumer appliances
- Communication equipment
These segments continue to account for a large share of global semiconductor demand and often prioritize long-term availability over cutting-edge performance.
Part of India’s Semiconductor Strategy
The Dholera fabrication plant represents one of the flagship projects approved under the Indian government’s semiconductor incentive programme. The facility is being built with a planned investment of around $10.7 billion and is expected to become India’s first large-scale commercial semiconductor wafer fabrication plant.
The project complements several other semiconductor investments across the country, including chip assembly, testing, and packaging facilities being developed in Gujarat and Assam, as India seeks to establish an end-to-end semiconductor manufacturing ecosystem.
Dholera Fab at a Glance
| Item | Details |
|---|---|
| Location | Dholera, Gujarat |
| Developer | Tata Electronics |
| Technology partner | Powerchip Semiconductor Manufacturing Corp. (PSMC) |
| Planned investment | Approximately $10.7 billion |
| Initial technology | 90nm and 55nm |
| Advanced node roadmap | 28nm |
Industry Experts See Practical Approach
Starting with mature semiconductor nodes is a common strategy for new fabrication plants because these technologies have established manufacturing processes, stable demand, and lower production complexity than leading-edge nodes.
Industry observers note that successfully producing 90nm chips would allow Tata Electronics to build operational expertise, train its workforce, qualify manufacturing processes, and establish relationships with customers before moving toward more advanced technologies.
What This Means for India’s Chip Ambitions
Although the initial technology is less advanced than originally anticipated, the project still represents a significant milestone for India’s semiconductor industry. Domestic production of mature-node chips could reduce import dependence in sectors such as automotive, industrial electronics, telecommunications, and consumer appliances while strengthening supply chain resilience.
The phased approach also reflects the technical complexity of semiconductor fabrication, where many new facilities worldwide begin with mature process technologies before progressing to more advanced nodes.
Looking Ahead
Tata Electronics’ decision to begin semiconductor production with 90nm technology underscores a pragmatic approach to establishing India’s first large-scale chip fabrication capability. As manufacturing stabilizes and production volumes increase, the company plans to expand into 28nm technology, positioning the Dholera facility as a key pillar of India’s long-term semiconductor strategy.
If executed successfully, the project could lay the foundation for a domestic chip manufacturing ecosystem capable of serving industries ranging from automotive and industrial automation to consumer electronics and communications.
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