Semicon 2.0 Notified with ₹1.27 Lakh Crore Outlay

Key facts

• The Union Ministry of Electronics and Information Technology (MeitY) notified Semicon 2.0, a ₹1.27 lakh crore scheme to expand India's semiconductor ecosystem.
• The scheme extends support to chip-design startups, MSMEs, semiconductor fabs, packaging firms, equipment and materials manufacturers, research bodies, and training institutions.
• Silicon wafer fabs will receive 40% of eligible capital expenditure, contingent on a minimum investment of ₹20,000 crore and 300-mm wafer capacity.
• Compound semiconductor, photonics, sensor/MEMS fabs will receive 35% government support, with a minimum capex of ₹500 crore.
• ATMP/OSAT facilities will receive 35% support for advanced packaging and 25% for legacy packaging, with a minimum capex of ₹1,000 crore.
• Commercial chip design startups and MSMEs are eligible for seed funding up to ₹15 crore, capped at 50% of the project cost.
• Advanced semiconductor R&D and talent development projects can receive up to 75% of project costs.