Centre to take equity stakes in semiconductor startups
NEW DELHI: In a major boost for India’s semiconductor startup policy, government is redesigning its support framework under Semicon 2.0 and intends to move away from one-time grants to a model of larger, milestone-linked funding coupled with equity investments, alongside venture capital (VC) firms.
On Wednesday, the cabinet approved Semicon 2.0 with an outlay of ₹1,27,500 crore, expanding India’s semiconductor strategy beyond fabrication and assembly. India Semiconductor Mission (ISM) chief executive Amitesh Kumar Sinha told TOI that the new framework reflects the unique capital requirements of semiconductor companies, whose funding needs to be extended well beyond the design stage.
