Tata Group in talks with 3 states to set up $300 mn semiconductor assembly unit: Report

[Black Tornado]

Tata Group in talks with 3 states to set up $300 mn semiconductor assembly unit: Report

While Tata Group has previously said it would likely enter the semiconductor business, this is the first time news about the group's foray into the sector and its scale has been reported.2 min read . Updated: 26 Nov 2021, 02:20 PM ISTReuters

• The Tata Group is talking to the southern states of Tamil Nadu, Karnataka and Telangana and scouting for land

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India's Tata group is in talks with three states to invest up to $300 million to set up a semiconductor assembly and test unit, two sources familiar with the matter said, as part of the conglomerate's push into high-tech manufacturing.

Tata is talking to the southern states of Tamil Nadu, Karnataka and Telangana and scouting for land for the outsourced semiconductor assembly and test (OSAT) plant, the sources said, declining to be identified as the matter is not public.


While Tata has previously said it would likely enter the semiconductor business, this is the first time news about the group's foray into the sector and its scale has been reported.

An OSAT plant packages, assembles and tests foundry-made silicon wafers, turning them into finished semiconductor chips.

Tata has looked at some potential locations for the factory, one of the sources said, adding a venue was likely to be finalised by next month.

"While they (Tata) are very strong on the software side of things ... hardware is something they want to add to their portfolio, which is very critical for long-term growth," the source said.

Tata group and the three states did not respond to requests for comment.

Tata's push will bolster Indian Prime Minister Narendra Modi's 'Make in India' drive for electronics manufacturing, which has already helped turn the South Asian nation into the world's second-biggest maker of smartphones.

The Tata group, which controls India's top software services exporter Tata Consultancy Services and has interests in everything from autos to aviation, plans to invest in high-end electronics and digital businesses, its Chairman N. Chandrasekaran has previously said.

Potential clients of Tata's OSAT business include companies such as Intel, Advanced Micro Devices (AMD), and STMicroelectronics.

The factory is expected to start operations late next year and could employ up to 4,000 people, the source said, adding availability of skilled labour at the right cost was key to the long-term viability of the project.

"Once Tata starts, the ecosystem will come around ... So it's very critical to find the right place from a labour standpoint," the source said.

Separately, Tata is already building a high-tech electronics manufacturing facility in southern Tamil Nadu state.

This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

Tata in talks with 3 states to set up $300 mn semiconductor unit: Report

The Tata Group is talking to the southern states of Tamil Nadu, Karnataka and Telangana and scouting for land

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[Black Tornado]

Atleast something should’ve been started in this sector for it to grow further.
Hope we’ll see more from TATA

 

[jamahir]

Tata is talking to the southern states of Tamil Nadu, Karnataka and Telangana and scouting for land for the outsourced semiconductor assembly and test (OSAT) plant, the sources said, declining to be identified as the matter is not public.


While Tata has previously said it would likely enter the semiconductor business, this is the first time news about the group's foray into the sector and its scale has been reported.

An OSAT plant packages, assembles and tests foundry-made silicon wafers, turning them into finished semiconductor chips.

Oh, that was disappointing. Reading the thread title I thought Tata will set up an actual pilot foundry in India at the low cost of 300 million. Lekin khoda pahaad nikla chuha.

 

[srshkmr]

Oh, that was disappointing. Reading the thread title I thought Tata will set up an actual pilot foundry in India at the low cost of 300 million. Lekin khoda pahaad nikla chuha.

You have to start from something?

 

[jamahir]

You have to start from something?

How will this assembly unit help Tata in setting up a microprocessor foundry ? When do you think the foundry will come about ?

 

[itsanufy]

How will this assembly unit help Tata in setting up a microprocessor foundry ? When do you think the foundry will come about ?

Why you can't setup a plant of your choice?

 

[Indos]

How will this assembly unit help Tata in setting up a microprocessor foundry ? When do you think the foundry will come about ?

If we want to make electronics product, we dont need to make semi conductor by ourselves right ? Let other people make semiconductor and we will make finished product

 

[Black Tornado]

If we want to make electronics product, we dont need to make semi conductor by ourselves right ? Let other people make semiconductor and we will make finished product

Atleast an ecosystem might start.
@jamahir there is a legit foundry coming to India by the way, talks with Taiwan are happening for that. Other than that Dholera SIR will also have a fab but of 65nm chips.

https://twitter.com/x/status/1434859420266098699

 

[jamahir]

Why you can't setup a plant of your choice?

Give me those 300 million and I can set up a pilot foundry whose processors' transistors are inherently radiation-tolerant and fast. This will take a combination of two fabrication methods.

If we want to make electronics product, we dont need to make semi conductor by ourselves right ? Let other people make semiconductor and we will make finished product

Yes there is the "fabless" model where an individual or group designs the processor ( instruction set, memory architecture, I/O subsystems etc ) and tests it on a FPGA board and once satisfactorily tested sends it to a foundry to be manufactured in lots ( I think minimum is a few thousand. Am I right, @fitpOsitive ? ). The ARM company of Britain operates in a similar way. It designs processors and licenses out that design to companies who want to use it in their products like cell phones and TV set top boxes.

@jamahir there is a legit foundry coming to India by the way, talks with Taiwan are happening for that.

There was a thread about that about two months ago. It was a seven billion dollar proposal. But the article spoke of the Taiwanese advising India to start a fabless design company first and then move on to establishing a foundry. Is this the same you are talking about ?

Other than that Dholera SIR will also have a fab but of 65nm chips.

https://twitter.com/x/status/1434859420266098699

What architecture chips will be produced here ? Will this be for Indian use only ?

 

[Black Tornado]

What architecture chips will be produced here ? Will this be for Indian use only ?

Nothing on that as of now

 

[itsanufy]

Give me those 300 million and I can set up a pilot foundry whose processors' transistors are inherently radiation-tolerant and fast. This will take a combination of two fabrication methods.



Yes there is the "fabless" model where an individual or group designs the processor ( instruction set, memory architecture, I/O subsystems etc ) and tests it on a FPGA board and once satisfactorily tested sends it to a foundry to be manufactured in lots ( I think minimum is a few thousand. Am I right, @fitpOsitive ? ). The ARM company of Britain operates in a similar way. It designs processors and licenses out that design to companies who want to use it in their products like cell phones and TV set top boxes.



There was a thread about that about two months ago. It was a seven billion dollar proposal. But the article spoke of the Taiwanese advising India to start a fabless design company first and then move on to establishing a foundry. Is this the same you are talking about ?



What architecture chips will be produced here ? Will this be for Indian use only ?

That means you don't have money, you don't have the capability to start venture of you dream.

If I have 300 M its me to decide where to spend, not upon the words of Jamhir. Same for TATA's.

 

[jamahir]

That means you don't have money, you don't have the capability to start venture of you dream.

There's no connection between having money and having capability. Take Subrata Roy for example. He spent 500+ crores on what ? On the twin weddings of his two sons when instead he could have started a SpaceX. Take Mukesh Ambani. He spent two billion dollars on constructing that obscene 27-storey "house" when with a lot less money the American company Relativity Space is building 3D Printed reusable rockets and also has the aim of Mars landing. Ambani can invest in the three Indian private space companies - Skyroot Aerospace, Agnikul Cosmos and Bellatrix Aerospace. The first two are building rockets and the last is developing an in-space propulsion engine which uses water as pre-fuel. Ambani with all his big money just lacks ambition and desire to contribute to humanity.

If I have 300 M its me to decide where to spend, not upon the words of Jamhir. Same for TATA's.

I just don't see the point in Tata investing this 300 million in something that is not at all useful either to the company or to the country.

 

[fitpOsitive]

Am I right, @fitpOsitive ? ).

Its a very diverse field. Many companies make RTL(register transfer level) code. They sell it as product. Other companies don't make RTL, they buy it and simply integrate those codes in their products. Simple. Some companies write RTL code, and software also that will be used after silicon phase of RTL.
Some companies provide just software. Some companies provide silicon synthesis and layout services. Some companies provide post silicon, post packaging, characterisation services. Some provide marketing of packaged and characterised products.
I mean you name it.
@Indos