Mysuru-based Kaynes Semicon facility is set to deliver India’s first packaged semiconductor chip by July. According to CEO Raghu Panicker, the company’s pilot production line is almost complete with machinery and clean room facilities scheduled for finalization by early May. Qualification testing is planned for June and the first samples will be provided to US-based Alpha Omega Semiconductor in July. This development marks an important step under the India Semiconductor Mission 1.0 following the company’s rapid implementation efforts after receiving the necessary cabinet approval.
In September last year, Kaynes received approval to establish an outsourced semiconductor assembly and test (OSAT) facility in Sanand, Gujarat with a total investment of Rs 3,307 crore. The facility is designed to have a production capacity of 6.3 million chips per day. Kaynes has secured a multi-year agreement with Alpha Omega Semiconductor to supply packaging and testing services for 12 different chip packages including insulated-gate bipolar transistors (IGBT), intelligent power modules (IPM) and power MOSFETs. The company also has additional customers from Japan and the US with plans to announce another contract soon.
Kaynes is one of four firms granted approval for chip assembly plants alongside CG Power, Tata Electronics and Micron. While Tata Electronics is setting up India’s first wafer fabrication unit, Micron’s project timelines have been extended to early 2025. The Centre will support the chip assembly plant of Kaynes with a 50% investment, while the Gujarat government will contribute 20% and leaving the remaining 30% to be funded by the company itself. In addition, Kaynes is expanding its operations with a new PCB facility in Tamil Nadu and exploring further projects in Odisha and Madhya Pradesh. These steps demonstrate the firm’s commitment to strengthening India’s semiconductor ecosystem with a focus on both chip packaging and broader semiconductor projects.
