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India's First Memory Chip Factory Mass Production by the End of this Year

Update time : 2022-08-01 14:30:26

Business Standard reported that Sahasra Semiconductors has invested INR 7.5 billion to set up a Electronic Component factory, which is also the first chip factory in India to be built from scratch.

Sahasra Semiconductors chairman and managing director Amrit Manwani said it will invest Rs 1.5 billion in the current financial year to set up an ATMP (assembly, testing, marking and packaging) plant at the Elcina manufacturing cluster in Bhiwadi, Rajasthan. It is expected to be operational by the end of this year. Once the market is established and revenues reach Rs 25-30 crore, another Rs 60 crore will be invested.
The company is currently investing heavily in purchasing equipment and setting up the clean room facilities needed for semiconductor packaging. manwani expects the first set of equipment to depart from Singapore this week and arrive at the plant in mid-August. Meanwhile, some of the equipment will arrive between August and September, with trial runs expected in November and mass production expected by December of this year.
The company expects to generate revenues of about Rs 500 million in the first full financial year after mass production, which is expected to grow to Rs 5 billion by 2025-26.
According to reports, Sahasra Group used to sell storage products for a Japanese and an American technology company, but after they exited storage products in India, the company started selling products under its own brand name. Now the group sees a growth opportunity in the Indian semiconductor market and has decided to venture into the semiconductor packaging sector.
Manwani further said that locally manufactured storage products will be favored by the company for information security purposes, as storage products are widely used in data servers, high-end industrial PCs, and communication devices.

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