How India’s semiconductor industry has changed in 2024 ?

How India's semiconductor industry has changed in 2024 ?

The recent surge in Moschip stock price has left everyone wondering about Indian semiconductor companies and with a genuine question: How India’s semiconductor industry has changed in 2024?

India’s semiconductor industry has experienced a significant transformation in 2024, and there are multiple factors behind it. Strategic government initiatives, substantial investments in manufacturing, and a surge in market confidence are just a few to count, which have given India’s semiconductor industry the necessary momentum. With the industry projected to reach a valuation of $64 billion by 2026 and potentially $110 billion by 2030, India is positioning itself as a formidable player in the global semiconductor landscape​ (Business Today)​​ (Circuit Digest)​.

To begin our analysis on the topic , we have chosen the hottest topic in India’s semiconductor space right now : , Moschip stock prices. In June 2024 , Moschip stocks soared by over 148%,, and there have been several factors contributing to this. Let us dive deep into this.

Moschip Stock Soars

In June 2024, Moschip Technologies, an Indian semiconductor company, experienced an incredible surge in its stock price, rising by over 148%. This surge is trying to describe various things that are happening in India’s semiconductor space .

It shows the confidence of investors in India’s semiconductor industry as well as the company’s robust performance. Several factors contributed to this rise, including securing a substantial ₹509.37 crore contract with the Centre for Development of Advanced Computing (CDAC) for developing a high-performance computing (HPC) system on a chip using 5nm technology.

Additionally, the company’s revenue has grown significantly, with total revenue reaching ₹293.91 crore in March 2024, up from ₹198.36 crore in March 2023​ (mint)​​ (mint)​.

Why is this the correct time to talk about India’s semiconductor space ?

Too many things revolving around semiconductors have happened in India in 2024 alone , which we will discuss in detail as we move ahead in this article . But if you just take the case of Moschip’s stock price rise, it shows the confidence that investors have in India’s semiconductor space. The Indian government is taking initiatives , colleges are introducing curriculums, and students are taking interest. What else would someone need to talk about?

How India’s semiconductor industry has changed in 2024 ?

Government Push

If you ask me, this is the first time in India , we have a government that is so serious about having semiconductor chip independence. In fact, the Indian government has been a significant catalyst in driving the semiconductor industry forward by providing various incentives to attract companies to come and make in India.

The India Semiconductor Mission (ISM) is a key initiative providing financial incentives and policy support to attract investments. This mission aims to bolster India’s position in the global semiconductor supply chain by fostering innovation and facilitating the establishment of new manufacturing units and design facilities.

The government’s Design Linked Incentive (DLI) scheme offers financial incentives and infrastructure support for integrated circuits, chipsets, and system designs, further promoting semiconductor design activities in India​ (Semiconductor Industry Association)​​ (Circuit Digest)​.

Manufacturing Boom

2024 has witnessed a manufacturing boom in India’s semiconductor sector, with Micron, Tata Electronics, and CG Power setting up fabs in India. India is going to have its first semiconductor fab which is being built by Tata Group in partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) with an investment of $2 billion. By late 2025 or early 2026, India will have its first in-house, commercially available semiconductor chips .

Also ReadWhy is Gujarat Attracting Maximum Semiconductor Investments in India: Ashwini Vaishnaw Explains

Additionally, Micron Technology, a major player in the semiconductor industry, has also shown interest in India’s semiconductor space by committing an investment of $825 million in a new semiconductor assembly and test facility​ (Semiconductor Industry Association)​​ (Business Today)​. These developments are signalling a significant shift towards self-reliance in semiconductor manufacturing and the creation of a robust supply chain within the country.

Design & Talent Focus

The focus on design and talent development has been another critical aspect of India’s semiconductor strategy. Several companies have applied to establish design facilities, contributing to the rise of chip design and development hubs across the country. This trend is supported by the government’s Design Linked Incentive (DLI) scheme, which provides financial support and infrastructure to promote semiconductor design activities. Companies like Intel, Qualcomm, and Texas Instruments have also expanded their design and R&D operations in India, leveraging the country’s vast pool of engineering talent​ (Circuit Digest)​​ (Business Today)​.

Further, the Indian government has introduced additional courses in engineering semesters so that students can have a good knowledge of microelectronics and related fields of study. Also, the government is providing free access to industry level tools like Cadence and Synopsis to universities so that students can build some projects on them and become industry ready.

Global Comparison

India is positioning itself strategically within the global semiconductor industry. Unlike China, which has faced trade restrictions and high labour costs, India offers a stable political environment and a large domestic market, making it an attractive destination for semiconductor investments.

Additionally, India’s democratic values and compliance with international laws provide a favourable business climate compared to other emerging markets. The collaborative efforts between the U.S. and India, including initiatives under the CHIPS for America Act and joint R&D programmes, further enhance India’s competitive edge​ (The Diplomat)​​ (Semiconductor Industry Association)​.

Future Prospects and Challenges

While the progress in 2024 is impressive, the industry still faces challenges, including the need for skilled talent and advanced infrastructure. The government’s continuous support and the increasing interest from global semiconductor giants position India well for future growth.

The potential for innovation and self-reliance in this sector aligns with the broader vision of an Atmanirbhar Bharat (self-reliant India). However, to sustain this growth, India needs to address the challenges of creating a skilled workforce, building advanced research facilities, and ensuring consistent policy support​ (The Diplomat)​​ (Business Today)​.


India’s semiconductor industry is at a pivotal moment in 2024, with significant advancements driven by government initiatives, increased manufacturing capabilities, and a strong focus on design and talent. The rise in Moschip Technologies’ stock price exemplifies the growing investor confidence and the industry’s promising future. As India continues to invest in this critical sector, the country is poised to become a major player in the global semiconductor landscape.

Abhinav is a graduate from NIT Jamshedpur . He is an electrical engineer by profession and analog engineer by passion . His articles at WireUnwired is just a part of him following his passion.

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