Rs. 22,900 crore semiconductor fab plant to come up in Mysuru

Bengaluru: Taking a huge stride in its mission to emerge a front runner in semiconductor and IT hardware sector in the country, Karnataka signed an MoU with Israel-based ISMC Analog Fab Private Limited for setting up a Semiconductor Fab plant in the State with an investment of Rs. 22,900 crore (3 Billion dollars) in the presence of Chief Minister Basavaraj Bommai.

The company is set to fully implement the project over a period of next 7 years with employment potential for 1500 persons. Additional Chief Secretary in the department of IT, BT Dr. EV Ramana Reddy on part of Karnataka and Director of ISMC Ajay Jalan signed the MoU. 

Later, Minister for Higher Education, IT, BT Dr. C.N. Aswhathnarayan confirmed over a tweet that the Semiconductor Fab plant will come up in Mysuru. The Minister tweeted: “Happy to say that the state-of-the-art semiconductor plant will come up in Mysuru, the place that became best administered state in the world under Shri Nalwadi Krishnaraja Wadiyar. Hos administrative acumen is the guiding beacon for our government. 

Karnataka is already a pioneer in IT, BT and R & D sectors. The MoU with ISMC would make Karnataka the place to look forward to in semiconductor technology, Bommai said in his address after signing of the MoU.

Karnataka has signed this major MoU when many other states are competing to draw investments in the Semiconductor Fab sector. Karnataka government understands that it is not just the concessions or incentives, it is the conducive ecosystem that is needed to draw the investors.  The State has the best infrastructure and skilled human resources, Bommai said.

 It is a major stride in the semiconductor sector. There are challenges  ahead. The MoU would drive us to turn those challenges into opportunities, Bommai said. The Union government under the able leadership of Prime Minister Narendra Modi has launched the Semiconductor Mission and it has spurred Karnataka to lead the march in this sector, Bommai said.

 The MoU has provided a forum for technology and cultural exchange between Israel and India, Bommai added and requested ISMC not just to set up the plant here, but bring the latest developments in the technology as it evolves with time to this plant in Karnataka.

“This MoU is a significant agreement amid the competition among various states to attract semiconductor fabs. Karnataka understands that it’s not just the fiscal incentives that matter but availability of conducive eco-system and overall ease in operations are also important. We have one of the best infrastructures in the country and an abundant skilled talent pool. As a state we are not just trying to bring down the entry barriers for businesses but also make it easier to exit businesses, should it be so required.

With robust policies, committed team, best in class infrastructure and ever-increasing talent pool of workers, Karnataka  is on its way to become premier investment destination. I invite all of you to be a part of this Growth Story. ” – Basavaraj Bommai, Chief Minister, Karnataka. 

This post was published on May 1, 2022 7:15 pm