India in final stages of rolling out ISM 2.0, to focus on ecosystem, talent: Amitesh Sinha
India is in the final stages of releasing the ambitious India Semiconductor Mission (ISM) 2.0, which will have a broader scope to support the ecosystem, including fulfilling domestic and international demand for talent in the sector, said a top official.
“We are in the final stages of ISM 2.0. We are looking to incentivise equipments, chemicals and gases. These are essential for semiconductor fabrication and packaging,” Amitesh Kumar Sinha, CEO, ISM, said during an online session by the India Semiconductor Mission (ISM) on Monday.
The Centre, as part of the second-edition of the scheme, is aiming to incentivise the manufacturing of semiconductor equipment and production of chemicals and gases, along with supporting indigenous design capability development, and establishing robust supply chains.
Sinha added that the Centre will incentivise other verticals to holistically develop an ecosystem, in addition to supporting design, packaging, and manufacturing-led activities.
News agency PTI recently reported that the expenditure department under the Ministry of Finance has cleared a budget proposal entailing a ₹1.25 lakh crore allocation for ISM 2.0. This compares to ₹76,000 crore earmarked for ISM 1.0.
The government, according to him, has made changes in the incentive structure under ISM 2.0, and will organise stakeholder consultations to drive awareness.
“We are coming up with some good changes in the design startups ecosystem, and are broadening the criteria of the companies who can participate in the semiconductor journey.”
He added that ISM 2.0 will expand the scope to fulfill skilled personnel requirements in India and globally. “The semiconductor industry had a shortage of 1 million skilled people, which is expected to widen to 2 million. During this timeline, the market itself is expected to grow from $1 trillion to $2 trillion.”
Sinha said that India has a large STEM (science, technology, engineering, and mathematics) population. “So this is an opportunity for India. We will attempt to ensure that our Indian talent serves at home and abroad too.”
Union Minister of Electronics and IT Ashwini Vaishnaw has earlier reportedly said that ISM 2.0 will prioritise indigenous chip design and productisation, while seeking to attract ecosystem partners and developing talent.
The Prime Minister Narendra Modi-led government has approved 12 projects under ISM 1.0 with an investment pipeline of about ₹1.64 lakh crore, including one fabrication unit, two compound fabrication units and nine packaging units.
