Lam Research, a prominent U.S.-based semiconductor equipment manufacturer, has announced a significant investment of approximately ₹10,000 crore (around $1.2 billion) in Karnataka, India. This investment is aimed at bolstering India's semiconductor manufacturing capabilities and is part of the broader initiative to enhance the country's semiconductor ecosystem.

The announcement was made during the 'Invest Karnataka' event, where Lam Research signed a memorandum of understanding (MoU) with the Karnataka Industrial Area Development Board (KIADB). The agreement includes plans to lease and eventually purchase land in Whitefield, Bengaluru, for setting up manufacturing facilities dedicated to semiconductor tools.

Investment Details And Objectives

Investment Amount: ₹10,000 crore ($1.2 billion), Location: Whitefield, Bangalore, Karnataka

To establish a manufacturing facility for semiconductor equipment and enhance supply chain operations in India. This move aligns with the Indian government's efforts to create a robust semiconductor ecosystem, supported by a $10 billion incentive program aimed at attracting global chip manufacturers.

Lam Research intends to expand its supply chain within India, having already made progress with local suppliers. The company plans to scale operations over the coming years to support global resilience objectives in semiconductor manufacturing.

This investment is seen as a major milestone in India's ambition to become a key player in the global semiconductor market, which is projected to grow significantly in the coming years. The Indian Semiconductor Mission has already approved multiple projects with substantial financial commitments, indicating strong momentum in the sector.

Union Minister for Electronics and IT, Ashwini Vaishnaw, emphasised that this investment reflects growing confidence in Prime Minister Narendra Modi's vision for a competitive semiconductor industry in India. The overall goal is to position India as a leader in electronics manufacturing and design, thereby creating jobs and fostering technological innovation within the country.

Lam Research's commitment of $1.2 billion towards establishing semiconductor manufacturing capabilities in Karnataka marks a pivotal step in enhancing India's position in the global semiconductor landscape.

DHNS