The chipmaking equipment industry is expanding in India due to tensions between China and the West. SEMI's first Semicon exhibition in India will feature major companies, reflecting India's growing semiconductor market, projected to reach $64 billion by 2026, as the country becomes a key semiconductor hub.

Wu pointed out the scarcity of experienced engineers in India's semiconductor industry, stressing the importance of investing in education and training programs to bridge this skills gap and enhance the sector's competitiveness on a global scale.

While speaking on the sidelines of the groundbreaking ceremony of Tata Electronics' Rs 91,000 crore chip manufacturing plant and Rs 27,000 crore chip assembly facility in Assam, Chandrasekaran said there will be the expansion of projects but only after the company cross the early milestones.

In a remarkable development, India's mobile phone manufacturing sector has witnessed an extraordinary surge, with its value jumping 21-fold to Rs 4.1 lakh crore over the past decade.

Vaishnaw highlighted the importance of this move, stating, "The next on our agenda, which we will look in the third term of the Modi government, is making AI chipsets." He emphasized that AI chipsets, which encompass graphics processing units (GPUs) and other computing hardware, are vital for the development of AI models, as they require large-scale computing capabilities beyond the capacity of central processing units (CPUs).

With Beijing's recent lockdowns disrupting global chip supply chains, India's proposition as a democratic and reliable semiconductor manufacturing destination has gained considerable traction. Minister Vaishnaw remarked that the perception among global players has shifted from "when should we go to India" to "how soon do we go to India," indicating a paradigm shift in investment sentiment towards the country.