India Semiconductor Mission (ISM) 2.0 will prioritise indigenous chip design, productisation, ecosystem partnerships, and talent development, Union Minister Ashwini Vaishnaw said on Saturday. The minister said the government will continue efforts to set up semiconductor manufacturing plants in the country, with a long-term goal of producing chips at the 2-nanometre node size.
Design companies to be top priority under ISM 2.0
Vaishnaw said design companies and startups will be the central focus of the next phase of the India Semiconductor Mission.
“In Semicon 2.0, the topmost priority will be design companies—design startups that can design a product, take it to the market, and hopefully become the next Qualcomm from India. We want to channel the innovation and energy of our startups into deep tech,” he said.
Announcement made at Qualcomm event
The minister was speaking at a Qualcomm event held to announce the company’s 2-nanometre chip, which has been co-developed in India.
Government allocation and focus on research
The government has allocated Rs 1,000 crore for ISM 2.0 for the financial year 2026–27. The funding will focus on industry-led research initiatives and training centres aimed at driving technology development and creating a future-ready skilled workforce.
Vaishnaw said the government intends to bring the entire semiconductor ecosystem under the ISM 2.0 framework.
Expanding the semiconductor ecosystem
The minister said the government will work to onboard equipment manufacturers, chemical manufacturers, gas suppliers, and companies involved in improving semiconductor yields as part of the mission.
Finance Minister Nirmala Sitharaman had earlier announced in the Union Budget that the government would roll out a second edition of the India Semiconductor Mission.
Talent development a key pillar
Talent development will be the third major focus area under ISM 2.0, Vaishnaw said, noting that a strong talent pipeline has already been created.
“We have been able to create that talent pipeline. The base is very wide now,” he said.
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