 "semiconductors, chip")
US semiconductor firm GlobalFoundries is looking for local partners to set up a chip fabrication unit, according to a report in The Economic Times (ET).
Earlier, GlobalFoundries had held discussions with a few companies from the country. But due to the companies' lack of expertise and experience in making electronics products, those plans did not materialise, a source was quoted as saying.
The source stated that it might take a couple of years before any concrete plans are finalised since these are long-drawn talks. The source added that the company is quite interested in investing in India because of the availability of talent in India.
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ET had earlier reported that the Vedanta-Foxconn joint venture had inked a memorandum of understanding with GF and European chipmaker STMicroelectronics for the technology to manufacture semiconductor chips. But, these talks fell through, and Foxconn walked out of the partnership in July.
All these firms are jostling for incentives under the government's $10 billion India Semiconductor Mission, which seeks to provide flat 50 per cent incentives to successful companies to set up semiconductor fabrication units as well as outsourced assembly and testing units (OSAT).
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Till now, the Centre has okayed an $825 million plan from Micron to set up an assembly, testing, marking and packaging (ATMP) unit at Sanand in Gujarat. Setting aside the $825 being invested by the company, the state and the central government will provide the rest as incentives to take the cumulative investment in the factory to $2.75 billion.
The construction of the proposed facility is seen beginning this year. Operations are expected to start from the unit in 2024.
