Israel - India Business Guide | 2025

I ndia’s ambition to become a global semiconductor hub is gainingmomentum, driven by government incentives, strategic investments, and increasing demand for advanced chips. While the nation is making significant strides in setting up semiconductor fabrication (fab) and packaging facilities, there remains a crucial need for technological expertise and ecosystem development. This is where Israel, a leader in semiconductor innovation and design, can play a transformative role in India's semiconductor journey. India’s Semiconductor Drive: In recent years, the Indian government has launched substantial initiatives to developa domestic semiconductor industry. The India Semiconductor Mission (ISM), introduced in 2021 , has already attracted major investments. Gujarat has emerged as a key hub, with Tata Electronics investing heavily in a fab facility in Dholera and an outsourced semiconductor assembly and test (OSAT) unit in Assam. Additional OSAT facilities by CG Power and Kaynes Technology further highlight India’s commitment to strengthening its semiconductor supply chain. Despite this progress, challenges remain. The global semiconductor industry is highly competitive and requires deep expertise in R&D, supply chain management, and intellectual property protection. Additionally, the sector demands significant infrastructure, highly skilled talent, and robust partnerships with leading semiconductor players worldwide. Israel’s Strength in Semiconductor Technology Israel has long been at the forefront of semiconductor innovation. Home to leading chip designers, research centers, and fabs operated by global giants like Intel, Israel’s semiconductor ecosystem is a powerhouse of technological advancement. The country is known for its expertise in chip design, artificial intelligence-driven semiconductor solutions, cybersecurity for semiconductor supply chains, and high-endmanufacturing technologies. Israeli companies specialize in areas critical to India’s semiconductor aspirations: ●● Chip Design and Development: Israeli firms excel in the design of advancedmicroprocessors, AI chips, and edge computing solutions. Companies like Mellanox (now part of NVIDIA), CEVA, and DSP Group lead in chip design and intellectual property solutions, aligningwell Chips & Partnerships: Israel and India Team Up for the Semiconductor Race India's ambition to become a global semiconductor hub can benefit from Israel's innovation and design Israel-India > Business Guide > 2025 62 > Manufacturing > The Semiconductor Industry