German semiconductor giant Infineon and US-based Onsemi are actively seeking Indian partners to establish semiconductor assembly and test facilities in India.
This move aligns with the growing trend of global firms investing in the country’s expanding outsourced semiconductor assembly and test (OSAT) market. The German company recently signed an agreement with Mohali-based CDIL Semiconductors to supply bare semiconductor wafers, which will be processed and assembled into power chipsets by the Indian firm.
“Their (Infineon’s) partnership with CDIL could also be viewed as a move towards (setting up an OSAT in India),” a source noted. The company, a leader in power semiconductors, is expected to gradually extend its expertise into the automotive and other sectors through strategic collaborations.
Arizona-based Onsemi, formerly ON Semiconductor Corporation, is a global supplier of power semiconductors and sensors.
The India Semiconductor Mission (ISM) has already approved three major OSAT projects - Tata Group’s Rs 27,120 crore facility in Assam, CG Power and Industrial Solutions’ Rs 7,584 crore unit, and Kaynes Technology India’s Rs 3,307 crore project in Sanand, Gujarat.