India Set to Launch Domestically Made Chip by 2025

India is set to witness its first domestically produced chip in the market by the end of 2025, announced Prime Minister Narendra Modi on Saturday. The PM highlighted the significant progress in developing a 'Made in India' 6G network as well. He emphasized India's potential in the semiconductor industry, pointing out missed opportunities in the past and the recent surge in manufacturing initiatives that aim to boost technological self-reliance. Furthering India's technological advancement, the PM discussed the government's focus on exporting electric vehicles to over 100 countries. Modi also emphasized the transformative reforms taking place in the country, mentioning the introduction of a new Income Tax Bill to benefit the common man and various sector-specific reforms promoting economic growth. India's prominence on the global economic stage was underscored by PM Modi, who stated that the country is on track to become the world's third-largest economy. He attributed this growth to India's resilience, supported by macroeconomic stability and successful financial market operations, even amidst challenges like the Covid-19 pandemic. Diving into the history of India's semiconductor industry, the article sheds light on the challenges faced and the recent initiatives to boost chip manufacturing. It discusses how India has been a significant player in chip design since the establishment of design centers in the country in the 1980s. The piece also highlights the government's recent efforts, such as substantial subsidies and incentives, to accelerate semiconductor production in India. The complex global landscape of chip manufacturing and the geopolitical factors influencing different countries' participation in this sector are also detailed in the article. It discusses India's journey in the semiconductor industry vis-a-vis other nations like China, the US, and Taiwan, providing insights into the reasons behind India's delayed foray into advanced chip manufacturing. Moreover, the article delves into recent policy changes and developments catalyzing India's semiconductor industry and the significant role played by key players in pushing the nation towards technological prowess and manufacturing self-sufficiency. Overall, the narrative encapsulates India's evolving semiconductor industry, the challenges faced in the past, the current government's efforts to propel chip manufacturing, and the nation's aspirations to carve a niche in the global semiconductor market.

Alstom, a global leader in sustainable mobility, has secured a significant contract to supply 39 driverless trainsets and a Communications-Based Train Control (CBTC) signalling system to Mumbai Metro Line 4. The contract, valued at a few hundred million euros, includes maintenance services for five years. The Mumbai Metro Regional Development Authority awarded the contract to Larsen & Toubro India, which has partnered with Alstom for this project. The 39 trainsets, each comprising 6 cars, will be manufactured in India, adhering to the 'Make in India' initiative. Alstom's expertise in CBTC technology will enable driverless operation across the 35.3 km stretch of Mumbai Metro Line 4, connecting Wadala and Kasarvadavali with 32 stations. This project aims to enhance connectivity in Mumbai, alleviate traffic congestion, reduce CO2 emissions, and improve public infrastructure. The introduction of these driverless trains will offer passengers a unique design, enhanced comfort, and advanced safety features like electrical braking and cybersecurity measures. Alstom's maintenance services will ensure the reliable and safe operation of the fleet. The company's Urbalis technology will provide the highest Grade of Automation (GoA4), commonly known as 'driverless technology,' for efficient train operations. The initiative underscores Alstom's commitment to sustainable and smart mobility solutions worldwide. With a proven track record in the mass transit market and extensive experience in CBTC technology, Alstom is set to elevate Mumbai's metro network with cutting-edge solutions. The company's past contributions to Mumbai's metro network, like the Aqua Line, signify its dedication to transforming urban transportation. As Mumbai Metro Line 4 progresses towards completion, trial train coaches have already been deployed for testing on the tracks, signaling tangible progress in the project. The upcoming metro corridor, designated as the Yellow Line, is poised to significantly improve connectivity between Mumbai and Thane, offering a crucial link for commuters in the region. The collaborative efforts of Alstom and Larsen & Toubro highlight a shared commitment to delivering world-class mobility solutions and enhancing urban infrastructure. The innovative technology, along with the focus on passenger comfort and operational efficiency, promises to elevate the commuter experience on Mumbai Metro Line 4.

Microsoft India (R&D) has recently secured a substantial office lease in Hyderabad's financial district, marking a significant expansion in the city. The tech giant has leased 264,000 square feet at Phoenix Centaurus through managed workspace operator Table Space Technologies. This five-year agreement, effective from July 2025, involves a base rent of INR 1.77 crore per month, with an annual escalation of 4.8%. When factoring in additional expenses, the total monthly cost amounts to INR 5.4 crore. Microsoft's move emphasizes its commitment to enhancing its research and development capabilities, particularly in Hyderabad's thriving tech ecosystem. This lease adds to the company's existing presence in the city. Microsoft established its India Development Centre in Hyderabad back in 1998, which has since become its largest R&D base outside the US. The company's Gachibowli campus focuses on engineering, artificial intelligence, and cloud projects. The new space at Phoenix Centaurus is expected to accommodate additional R&D teams and technology units, further solidifying Microsoft's long-term commitment to Hyderabad. A senior workspace real estate consultant highlighted that large tech occupiers continue to invest in Hyderabad due to factors such as talent availability, infrastructure, and cost advantages. This move signifies global corporations' not only consolidation but also expansion in the city, especially in premium Grade-A spaces. In an interview, Microsoft India President Puneet Chandok expressed India as an exciting market for technology and AI. The company is committed to India, evident through its investments and initiatives aimed at fostering growth and development in the country. With this latest lease agreement, Microsoft aims to strengthen its presence in Hyderabad and continue driving innovation in the region.

OpenAI, the makers of ChatGPT, have revealed plans to launch a Learning Accelerator program in India. The initiative aims to introduce advanced AI to educators and millions of learners across the country. India, with the largest number of student ChatGPT users globally, is a key focus. The program includes a substantial grant to IIT Madras to assess the impact of AI "one-on-one tutors" in classrooms. The firm's first large-scale event in India, the OpenAI Education Summit, marked the announcement. This summit preceded the upcoming AI Impact Summit to be hosted in India next year. OpenAI intends to distribute half a million ChatGPT Plus licenses to schoolteachers in India, collaborating with the Ministry of Education and the AICTE. Leah Belsky, OpenAI’s Education VP, expressed optimism in AI's potential impact on education. Unlike prior tech integration efforts, the grassroots adoption of generative AI by students themselves sets this wave apart. OpenAI's focus is on transforming education in partnership with Indian institutions and educators to enhance learning outcomes. To support this mission, Raghav Gupta, formerly of Coursera, has been appointed to lead OpenAI's educational endeavors in India. The company also aims to provide ChatGPT licenses tailored to Indian curriculum needs, responding to requests from parents and educators. OpenAI's momentum in India is notable, with plans to establish an office in New Delhi and expand its team. Recognizing India as a key market, the company is dedicated to making advanced AI accessible and relevant to the Indian context. This strategic move aligns with the rapid growth of ChatGPT users in India, indicating a promising future for AI integration in the country's educational landscape.

The Indian government has given the green light to Starlink, a satellite communication provider, after it agreed to adhere to domestic laws and security measures. The approval allows Starlink to operate in India under a Unified License, ensuring that user data remains within the country. The company pledged to establish earth station gateways in India to manage all satellite communications, in line with security conditions mandated for all satellite communication providers. Starlink's compliance with the security conditions, which include restrictions on data decryption outside India and routing Indian user traffic solely through local gateways, was crucial for the permit. This move opens up opportunities for satellite-based communication services in India, potentially creating employment and boosting the telecom sector. India's telecom sector is evolving rapidly, with satellite-based services becoming a key focus. Starlink is projected to launch its broadband services in India by the end of 2025, with a phased rollout concentrating on remote and underserved areas. The company's entry into the Indian market signifies a step towards technological advancement and self-reliance. Furthermore, the Department of Telecommunications' approval of Starlink reflects India’s commitment to fostering indigenous technological capabilities. Institutions like the Centre for Development of Telematics (C-DOT) play a crucial role in enhancing secure communication networks, especially in light of geopolitical challenges. C-DOT's contributions, including developing indigenous telecom technology for 4G and 5G networks, underscore India's progress in establishing a robust telecom infrastructure. The telecommunications sector in India is poised for further growth, with initiatives like Starlink's entry and advancements in indigenous technology highlighting the country's potential in the global technological landscape.

Chief Minister Pinarayi Vijayan inaugurated the Adani Logistics Park groundbreaking ceremony in Kalamassery, marking a significant step towards boosting Kerala's industrial landscape. The ambitious project, with an initial investment of ₹600 crore on a 70-acre site, aims to revolutionize logistics and industrial operations in the region. The park, poised to create numerous direct and indirect job opportunities, is a key component of the state's drive for inclusive growth and economic transformation. The logistics park, a highlight of the Invest Kerala Global Summit, is strategically designed to streamline operations, reduce transportation costs, and enhance export capabilities across various sectors including e-commerce, automotive, and retail. With a focus on sustainability and innovation, the facility will incorporate electric vehicle charging stations, smart logistics solutions, and digital integration for seamless operations and enhanced customer experience. Moreover, it aims to foster small and medium enterprises within the supply chain ecosystem. Chief Minister Vijayan emphasized the park's role in elevating Kerala's industrial-friendly status and fostering international investments. Noting the success of the Entrepreneurship Year initiative, which has generated substantial investments and job opportunities in the state, he highlighted Kerala's progress in becoming a business-friendly destination. The project is expected to create over 13 lakh job opportunities, contributing significantly to the state's economic growth. The ceremony, attended by key officials and industry leaders, including Adani Ports & Special Economic Zone Limited CEO Ashwani Gupta, underpinned the importance of such initiatives in propelling Kerala's industrial sector forward. With a strong emphasis on sustainability, digitalization, and operational efficiency, the Adani Logistics Park signifies a major milestone in Kerala's journey towards becoming a thriving industrial hub.

Maharashtra's economy is flourishing, with a GDP that has the potential to reach $1 trillion by 2030, as per Morgan Stanley's research report. The state's current GDP of $536 billion is already the highest among Indian states and is equivalent to Singapore's economy. The report attributes this growth to various factors such as investment, industrialization, exports, fiscal responsibility, high literacy rates, and strong leadership. Industrialization has been a significant driver of Maharashtra's economic growth, with the state shifting focus from agriculture to manufacturing and services over the past decades. Maharashtra is the leading recipient of Foreign Direct Investment, accounting for 39.2% of the total inflow in FY25. The state excels in industries such as metal, auto, food products, machinery, and equipment. While the industrial sector contributes significantly to Maharashtra's GDP, the services sector has also shown impressive growth, accounting for 64.3% of the state's GDP. Maharashtra has become a hub for information technology, startups, banking, finance, insurance, and real estate. The state is also a major exporter, with a 15.4% share of the country's total exports. The government's vision includes achieving a $1 trillion economy by 2030 through infrastructure investments and focus on high-growth sectors. The state is taking steps towards energy transition and enhancing growth visibility through global capability centers. In a broader context, India is projected to become the world's third-largest economy by 2028, with a GDP doubling to $10.6 trillion by 2035. The role of Indian states, particularly Maharashtra, Tamil Nadu, Gujarat, Uttar Pradesh, and Karnataka, will be pivotal in driving this economic transformation. Competitive federalism, where states have autonomy to design policies and attract investments, will be crucial in India's journey towards becoming a global manufacturing hub. As states and the central government collaborate on infrastructure development, India aims to sustain its economic growth momentum. The country's increasing infrastructure investments and focus on domestic sectors are set to bolster economic resilience amid global uncertainties. India's strategic measures to tackle inflation, improve liquidity, and strengthen domestic demand bode well for sustained economic growth.