India added a homegrown graphics processing unit (GPU) effort to its semiconductor agenda, with a senior technology official estimating about 24 months of development under a ₹1,27,500 crore program.
S. Krishnan, secretary of India’s Ministry of Electronics and Information Technology (MeitY), told ETGovernment in an interview that the effort is expected to take about 24 months. He described an expected development period, not a firm completion or deployment date.
Krishnan said a small number of companies produce AI accelerator chips globally, and that this concentration contributes to high costs. He also compared broader AI-driven opportunities for India’s information technology industry with the Y2K era; the comparison was not specific to the GPU effort.
The Union Cabinet approved Semicon 2.0 on July 15 with an outlay of ₹1,27,500 crore. The program covers chip design, semiconductor equipment and materials, fabrication facilities, advanced packaging, research and development, and talent development. The Cabinet says it is intended to build domestic chip-design and manufacturing capacity.
The Cabinet announcement describes support for chip design and incentives for companies making semiconductor machinery and materials. It does not name a recipient for the GPU effort or set an interim GPU milestone. The Cabinet says India’s first semiconductor fab, listed under progress from the mission’s first phase, is scheduled to be commissioned in 2028.
