Pioneering India’s Semiconductor Future: A Landmark MoU for the First Private SiC Fab in Andhra Pradesh

We at BITSILICA are excited to share a monumental leap forward for India’s semiconductor industry. Indichip Semiconductors Limited, alongside their joint venture partner Yitoa Micro Technology Limited (YMTL) from Japan, has inked a Memorandum of Understanding (MoU) with the Andhra Pradesh government to set up India’s very first private semiconductor manufacturing facility. With an investment surpassing ₹14,000 crore, this partnership is set to reshape the future of technology in India.

Advancing Technological Frontiers with SiC Chip Manufacturing

Imagine a cutting-edge facility dedicated to silicon carbide (SiC) chips, crucial for innovations in electric vehicles and renewable energy. This initiative, supported by BITSILICA, is not just about meeting current demands; it’s about leading the charge towards sustainable, energy-efficient technologies. Industries Minister T.G. Bharath expressed his excitement, noting, “This investment showcases Andhra Pradesh’s capability to attract advanced industries through innovative policies and solid infrastructure. Our commitment to fostering talent and providing seamless support will ensure this project’s success and elevate India’s global semiconductor standing.”

Bandwidth Memory-Strategic Vision: Aatmanirbhar Bharat and Beyond

This project is perfectly aligned with the Aatmanirbhar Bharat vision. The SiC fab will start with a capacity of 10,000 wafers per month, scaling up to 50,000 within a few years. It’s more than just a move towards self-reliance—it’s a leap into the future, addressing global trends in sustainable and energy-efficient technologies.

Key Players and Signatories

The MoU ceremony in Hyderabad was a significant event, with key figures like Piyush Bichhoriya, Managing Director of Indichip, and Saikanth Varma, CEO of the Andhra Pradesh Economic Development Board (APEDB), in attendance. IT Minister Nara Lokesh, Minister Bharath, and Indichip Directors Sandeep Garg and Web Chang joined representatives from Yitoa, including Chairman David York Yuan Chang and CEO Motosugi Keisuke, to celebrate this transformative partnership.

Commitment to Innovation and Job Creation

BITSILICA is thrilled about the opportunities this SiC fab will bring to Andhra Pradesh. IT Minister Nara Lokesh shared, “This collaboration fits our vision of making Andhra Pradesh a manufacturing powerhouse. The SiC fab will create thousands of jobs, drive innovation, and foster ancillary industries in the region.” Piyush Bichhoriya added, “By focusing on silicon carbide chips, we aim to

fortify India’s manufacturing landscape and contribute significantly to the global semiconductor market.”

Infrastructure and Ecosystem Support

The state government’s commitment is clear, with land allocated at the Orvakal Mega Industrial Hub in Kurnool and all the necessary infrastructure to support the facility. This shows Andhra Pradesh’s dedication to becoming a top destination for semiconductor and electronics manufacturing.

Looking Ahead

At BITSILICA, we believe this partnership between Indichip, Yitoa Micro Technology, and the Andhra Pradesh government is a transformative step for India’s semiconductor industry. It’s not just a business venture; it’s a commitment to long-term growth, sustainability, and technological leadership.

This new facility is set to become a cornerstone of India’s tech future, focusing on innovation and

sustainability.

Explore More: Transformative Trends in the Semiconductor Industry: Redefining Technology for 2025