In a major push to establish technological self-reliance, the Indian government is gearing up to strengthen the semiconductor industry through the next phase of the India Semiconductor Mission (ISM 2.0). Launched originally in 2021, the mission aims to build a robust domestic ecosystem for semiconductor design, manufacturing, and advanced technology development.
Building a Self-Reliant Semiconductor Ecosystem
Semiconductors are the backbone of modern electronics, powering everything from smartphones and automobiles to industrial machinery and defense systems. Recognizing this strategic importance, ISM 2.0 focuses on attracting global investments, fostering innovation, and nurturing start-ups in chip design and fabrication.
The mission aims to integrate the entire semiconductor value chain in India—from raw materials and wafer fabrication to chip assembly, testing, and packaging. By strengthening local capabilities, India hopes to reduce its dependence on imports, enhance supply chain resilience, and position itself as a global technology hub.
Encouraging Investment and Innovation
ISM 2.0 is expected to provide incentives such as capital support, technology grants, and policy facilitation to semiconductor manufacturers and design houses. Special emphasis will be on creating research and development centers, skill development programs, and innovation clusters that can accelerate domestic chip design capabilities.
Strategic and Economic Implications
With global demand for semiconductors rising, ISM 2.0 is seen as a critical step for India to secure its place in the high-tech global economy. Enhanced domestic manufacturing will not only boost the electronics and IT sectors but also strengthen strategic sectors such as defense, telecommunications, and electric vehicles.
As India moves forward with ISM 2.0, policymakers, industry leaders, and investors are optimistic that this next phase will catalyze innovation, attract global partners, and make India a key player in the semiconductor revolution.