Prime Minister Narendra Modi is set to inaugurate a major semiconductor assembly and testing facility by Micron Technology on February 28, marking a significant milestone in India’s push to strengthen its electronics manufacturing ecosystem. The project, located near Ahmedabad, has attracted an investment of Rs 22,516 crore and is being described as India’s first large-scale semiconductor fabrication-linked facility.
The Sanand unit was formalised after the Gujarat government signed an agreement with Micron in June 2023 to establish the $2.75 billion plant. Since then, construction and operational preparations have progressed on schedule under the supervision of Chief Minister Bhupendra Patel. The inauguration underscores the Centre’s broader semiconductor mission aimed at reducing import dependence and positioning India as a competitive player in the global chip supply chain.
The facility will manufacture solid-state drives (SSDs), DRAM, and NAND memory products, which are critical components used in smartphones, laptops, servers, and data centres. With artificial intelligence-driven technologies expanding rapidly across industries, demand for high-performance memory and storage solutions has surged globally. Micron CEO Sanjay Mehrotra has highlighted that AI systems require advanced memory architectures, making such investments strategically important.
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Designed as an Assembly, Testing, Marking, and Packaging (ATMP) unit, the plant will receive semiconductor wafers from Micron’s fabrication facilities abroad. These wafers will undergo chip assembly, rigorous testing for performance and memory capacity, marking for identification, and final packaging before being dispatched to domestic and international markets. The process transforms processed wafers into finished, market-ready semiconductor memory products.
In terms of employment, around 2,000 people are currently working at the facility, with plans to scale direct employment to 5,000 in the coming years. Additionally, the project is expected to generate nearly 15,000 indirect jobs across supply chains and ancillary industries. The company has also emphasised inclusivity, employing specially abled individuals in technical and operational roles, reflecting a broader commitment to workforce diversity.
The Sanand plant represents a critical step in India’s semiconductor ambitions amid intensifying global competition and supply chain realignments. By strengthening domestic capabilities in memory and storage manufacturing, the project aims to enhance India’s resilience in electronics production while supporting emerging sectors such as artificial intelligence, cloud computing, and high-performance computing infrastructure.
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