CG Power and Industrial Solutions Limited, a subsidiary of Tube Investments of India Limited, has received approval to set up a semiconductor unit in Sanand, Gujarat. The company, which is part of the Murugappa Group, will have a 92.3% stake in the upcoming joint venture.
Under the Development of Semiconductors and Display Manufacturing Ecosystems in India scheme, the JV plans to invest Rs 7,600 crore over a five-year period. The funding will be sourced through a combination of equity, bank borrowings, and government subsidy.
Instead of quotes from the original article, it can be said that Renesas Electronics Corporation and Stars Microelectronics will play crucial roles as technical partners in the project. Renesas, a Japanese chipmaker, will bring advanced manufacturing technology and capabilities to the joint venture. On the other hand, Stars Microelectronics, an outsourced semiconductor assembly and test (OSAT) provider based in Thailand, will offer technical know-how.
With its establishment, the semiconductor joint venture will contribute to the growth and development of India’s semiconductor industry. It aims to meet the increasing demand for semiconductors in various sectors, including consumer electronics, automotive, and telecommunications.
This collaborative effort will not only enhance domestic production but also reduce India’s reliance on imports from other countries. By building local capabilities and fostering technological advancements, the joint venture will bolster India’s position as a global player in the semiconductor market.
This ambitious project demonstrates CG Power’s commitment to driving innovation and fostering self-sufficiency in India’s semiconductor industry. Through strategic partnerships and investments, the company aims to create a strong foundation for the growth and competitiveness of the sector.
CG Power and Industrial Solutions Limited, a subsidiary of Tube Investments of India Limited, has received approval to set up a semiconductor unit in Sanand, Gujarat. The company, which is part of the Murugappa Group, will have a 92.3% stake in the upcoming joint venture.
The joint venture plans to invest Rs 7,600 crore over a five-year period under the Development of Semiconductors and Display Manufacturing Ecosystems in India scheme. The funding will be sourced through a combination of equity, bank borrowings, and government subsidy.
Renesas Electronics Corporation and Stars Microelectronics will play crucial roles as technical partners in the project. Renesas, a Japanese chipmaker, will bring advanced manufacturing technology and capabilities to the joint venture. Stars Microelectronics, an outsourced semiconductor assembly and test (OSAT) provider based in Thailand, will offer technical know-how.
The semiconductor joint venture aims to meet the increasing demand for semiconductors in various sectors, including consumer electronics, automotive, and telecommunications. It will contribute to the growth and development of India’s semiconductor industry.
By establishing local capabilities and fostering technological advancements, the joint venture will reduce India’s reliance on imports and position the country as a global player in the semiconductor market.
CG Power’s commitment to driving innovation and fostering self-sufficiency in India’s semiconductor industry is demonstrated through this ambitious project. The company aims to create a strong foundation for the growth and competitiveness of the sector through strategic partnerships and investments.
Key terms and jargon:
– Semiconductor: A material capable of conducting electricity under certain conditions and used in the production of electronic devices.
– Joint venture: A business agreement in which two or more parties agree to combine resources and share risks and rewards in a specific project or undertaking.
– Equity: Ownership interest in a company that represents the residual value after deducting liabilities.
– Bank borrowings: Loans obtained from banks to finance business activities.
– Government subsidy: Financial assistance provided by the government to support specific industries or activities.
– Outsourced semiconductor assembly and test (OSAT): The practice of outsourcing the assembly, testing, and packaging of semiconductors to specialized service providers.
Suggested related links:
– Renesas Electronics Corporation
– Stars Microelectronics
– Murugappa Group
The source of the article is from the blog portaldoriograndense.com