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Industry News

India Expected to Become a Semiconductor Manufacturing

February 15, 2007
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India, with growing semiconductor consumption and acceleration in electronics manufacturing activities and with the setting-up of EMS shops, is destined to emerge as an important semiconductor manufacturing location, reports In-Stat. India is one of the fastest growing semiconductor-consuming markets in the world, the high-tech market research firm says. The rise of the middle class is driving the consumer market in India at an astounding pace.


“The semiconductor ecosystem, which is currently dominated by design services and embedded software, will be in place by 2010 with the setting-up of planned semiconductor manufacturing facilities,” says Mayank Jain, In-Stat analyst. “Thus, by 2010, India will have the entire semiconductor industry in place, and will be in the reckoning among other Asia semiconductor manufacturing countries.”

Recent research by In-Stat found the following:

  • The market for semiconductors in India was valued at $1.18 B in 2005 and is forecast to reach $3.09 B by 2010.

  • Television sets lead semiconductor consumption in the consumer segment.

  • By 2010, communications is anticipated to be the major contributor to semiconductor consumption.

The research, “Indian Semiconductor Market Update: Consumption, Manufacturing and Future Development,” gives a five-year forecast for semiconductor consumption in India and points out consumption trends across different segments.

It highlights the drivers in each segment and gives the breakdown of semiconductor products like microprocessors, microcontrollers, memory and DSP across each segment. The major players in various semiconductor segments are discussed to provide an overview of the market’s direction. The report also analyzes the semiconductor manufacturing scenario in India.
This report is part of In-Stat’s Asia Semiconductor and Manufacturing Service, which tracks semiconductor consumption by applications and by country.

This service forecasts application segments in crucial Asian markets, including China, India, Japan, Korea and Taiwan. Semiconductor manufacturing is also addressed by country and an additional step in identifying the largest markets for semiconductor consumption is presented with a look at CEM and assembly capacity by country. This research is an invaluable tool in identifying business opportunities in the increasingly important Asian marketplace.

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