The Central Government of India has recently approved a significant modernisation project for the Semiconductor Laboratory (SCL) located in Mohali, Punjab. This initiative is part of the broader Semicon India Program, which aims to enhance the semiconductor manufacturing ecosystem in the country.

The government has sanctioned an investment of ₹10,000 crore (approximately $1.2 billion) for the modernisation of SCL. This funding is part of a larger outlay of ₹76,000 crore allocated for the development of semiconductors and display manufacturing in India.

The primary goals of this modernisation include, upgrading SCL's existing technology from 180nm to 28nm fabrication processes. Increasing production capacity from about 700 wafers per month to approximately 24,000 wafers per month.

Establishing SCL as a hub for research and development, as well as training in clean-room operations necessary for semiconductor manufacturing.

The government is seeking to collaborate with external technical partners to facilitate the transfer of technology and expertise required for this upgrade. Expressions of interest have already been received from various companies, and a selection process is underway.

SCL has been operational since 1984 and has played a crucial role in India's semiconductor landscape, contributing to significant projects like the Mars Orbiter Mission (Mangalyaan). However, it has faced challenges, including a devastating fire in 1989 that severely impacted its operations.

This modernisation effort is expected to not only enhance India's semiconductor manufacturing capabilities but also position SCL competitively on a global scale. The initiative aligns with India's strategic goals to become self-reliant in semiconductor production, which is critical for various sectors including space, defense, and telecommunications. The government aims to establish an Atmanirbhar (self-reliant) chip ecosystem that supports both domestic needs and export opportunities.

The modernisation of the Semiconductor Laboratory in Mohali represents a pivotal step towards strengthening India's semiconductor industry, enhancing technological capabilities, and fostering innovation within the sector.