Singapore-based IGSS Ventures, one of three entities applying for state support to build wafer fabs in India, plans to spend about US$3.25 billion in the southern state of Tamil Nadu, according to reports.
The money will be spent over the next five years to create a semiconductor-oriented business park and wafer fab. The level of support being offered across the federal and state governments means IGSS Ventures could expect to receive about $1 billion in subsidy.
A MoU (memorandum of understanding) was signed to this effect between IGSS Ventures and the Tamil Nadu Guidance Bureau, the state government’s agency for inward investment.
Fabs for India
IGSS Ventures is one of three entities that have submitted applications to the Indian governments semiconductor program (see Indian subsidies fail to attract top chipmakers). The others are a joint venture between Vedanta and Foxconn and one between Tower Semiconductor and Abu Dhabi based New Orbit Ventures called ISMC (India Semiconductor Manufacturing Co.)(see Tower JV signs agreement to build Indian wafer fab). ISMC is planning for a 65m analog wafer fab to be built in Mysuru, Karnataka.
While New Orbit Ventures has Tower as the source of manufacturing technology the parallel situation for IGSS Ventures is less clear. The IMEC research institute has been mentioned as a possible source of technology. However, IMEC is not used to helping to set up commercial wafer fabs or running manufacturing in volume.
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