The Union Cabinet has approved two new semiconductor projects under the India Semiconductor Mission (ISM), reinforcing India’s push to build a self-reliant and globally competitive chip ecosystem. The approvals include the country’s first commercial Mini/Micro-LED display facility based on Gallium Nitride (GaN) technology, alongside a semiconductor packaging unit.
Investment, jobs and strategic location
Both projects will be set up in Gujarat with a combined investment of around ₹3,936 crore and are expected to generate employment for more than 2,200 skilled professionals. The choice of Gujarat further cements its emergence as a key semiconductor manufacturing hub.
Crystal Matrix to build advanced display facility
Crystal Matrix Ltd will establish an integrated compound semiconductor fabrication and ATMP facility in Dholera. The unit will manufacture Mini/Micro-LED display modules while also offering GaN foundry services, including epitaxy on 6-inch wafers.
At scale, the facility is expected to produce 72,000 square metres of display panels annually along with 24,000 sets of RGB GaN epitaxy wafers. These products will cater to a wide spectrum of applications, ranging from televisions and commercial displays to smartphones, automotive screens, and next-generation devices such as extended reality headsets and smartwatches.
Suchi Semicon to strengthen backend manufacturing
Suchi Semicon Private Limited will set up an Outsourced Semiconductor Assembly and Test (OSAT) facility in Surat. The plant will manufacture discrete semiconductors with a proposed annual capacity of over one billion chips, targeting applications in power electronics, analog ICs, and industrial systems. These components are expected to serve high-growth sectors such as automotive, industrial automation, and consumer electronics.
Ecosystem expands, investments cross ₹1.6 lakh crore
With these approvals, the number of projects cleared under ISM rises to 12, taking the cumulative investment commitment to around ₹1.64 lakh crore. The additions are expected to deepen India’s capabilities across both advanced display technologies and semiconductor backend operations.
Execution gains pace across the value chain
Momentum is building across the semiconductor ecosystem, supported by a rapidly growing design base and government-backed infrastructure across more than 300 academic institutions and over 100 startups. Of the previously approved projects, two have already commenced commercial shipments, while several others are progressing toward operationalisation.
