Intel Partners with Tata Group to Manufacture Semiconductors in India

9 Dec 2025 , 01:09 PM

Tata Group announced that Intel has signed an agreement to manufacture and assemble semiconductors in India, marking a major step in strengthening the country’s domestic chip production capabilities. The partnership aims to support the rising demand for semiconductors in India and develop a strong supply chain to meet the needs of fast growing digital and AI driven industries.

Both companies will explore opportunities to scale AI enabled PC solutions for consumer and enterprise segments. India is projected to become one of the top five PC markets globally by 2030, creating significant growth potential.

Intel and Tata will assess the manufacturing and packaging of Intel products at two upcoming Tata Electronics facilities:

• The semiconductor fabrication plant in Dholera, Gujarat
• The outsourced semiconductor assembly and test (OSAT) facility in Assam

The collaboration will also include work on advanced semiconductor packaging technologies, an area critical to building a complete domestic chip ecosystem. Tata Electronics is developing these facilities with a total investment of ₹1.18 trillion, which forms a central part of India’s ambition to build an end to end semiconductor value chain.

Intel CEO Lip Bu Tan said the agreement offers a strong opportunity to partner with Tata and scale operations in one of the world’s fastest growing compute markets, driven by increasing PC usage and rapid adoption of AI technologies in India.

The companies noted that the alliance will integrate Intel’s AI compute reference designs with Tata Electronics’ manufacturing strength and the wider Tata Group’s distribution and industry presence across the country.

Tata Sons Chairman N Chandrasekaran said the collaboration will help accelerate India’s semiconductor readiness and strengthen efforts to build a competitive ecosystem that supports future AI and compute requirements.

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