The Union Cabinet on Tuesday approved the final two semiconductor units under the first phase of the government’s Semiconductor Mission, which includes investment. ₹3,936 crores. Projects will be funded under ₹An outlay of Rs 76,000 crore has been earmarked for the Bharat Semiconductor Mission 1.0, launched in 2022.
Both the facilities, announced by IT Minister Ashwini Vaishnav during the cabinet briefing, will be set up in Gujarat.
With these approvals, the government has completed the initial slate of projects under ISM 1.0, taking the total units and cumulative investment to 12. ₹Rs 1.65 lakh crore, Vaishnav said.
The government is now preparing to launch the next phase, ISM 2.0, which is expected to involve an outlay of more than ₹1 lakh crore, HT had earlier reported.
The government is setting up two large facilities – the Dholera-based Crystal Matrix project – as part of a broader shift in display technologies from LCD to next-generation microLED. For decades, LCD manufacturing was dominated by Japan, South Korea and Taiwan before China stepped up investment and gained global leadership, Vaishnav said.
With LCD now considered a mature technology, the focus has shifted to MicroLED, where India wants to make an early presence.
₹The Rs 3,068-crore Crystal Matrix facility will manufacture gallium nitride (GaN) wafers used in mini and microLED displays with advanced packaging (ATMP). These components are used in applications such as large video walls, AR/VR systems, studio production, and specialty defense and medical displays.
The project is part of India’s effort to enter a sector that is still growing globally, with players like Sony and Samsung leading the way.
