India has taken a monumental step towards self-reliance in the technology sector, with the first commercial semiconductor manufacturing units now operational within the country. This marks a significant milestone in the nation’s ambitious plan to establish a thriving domestic electronics and manufacturing ecosystem, reducing its dependence on imports and fostering innovation. S Krishnan, Secretary of the Ministry of Electronics and Information Technology (MeitY), confirmed the commencement of production today during the A(I)NDIA Conclave-2025 in New Delhi, signaling a new era for India’s tech industry. The successful implementation of these units isn’t just about chip production; it’s a catalyst for broader economic growth and technological advancement.
India Begins Commercial Semiconductor Manufacturing
The announcement that all ten newly established semiconductor manufacturing units are now producing commercial chips comes as a welcome boost to India’s aspirations in the global electronics market. Krishnan stated that production has already begun, demonstrating the swift progress of the national semiconductor program. This isn’t simply a promise of future capabilities, but a present reality that quickly shifts the landscape for Indian technology companies and reduces supply chain vulnerabilities.
Phase One Progress and Future Expansion
Currently, the program is well underway in its initial phase, with ten projects already grounded. Furthermore, the government anticipates approving an additional two to three projects soon, completing the commitment for the first iteration – ISM 1.0 (India Semiconductor Mission). The government is already looking ahead, outlining plans for ISM 2.0, signifying a long-term dedication to supporting and expanding the electronics manufacturing sector. This phased approach allows for learning, adaptation, and sustainable growth.
Alongside project approvals, considerable investment is being directed toward essential infrastructure improvements. Krishnan specifically mentioned the nearing completion of the HCL modernization project, which is a critical component of the overall ISM 1.0 initiative. These vital improvements pave the way for increased efficiency and a more competitive manufacturing environment.
AI Adoption and the India AI Impact Summit 2026
The government’s focus extends beyond just chip production. Recognizing the transformative potential of artificial intelligence (AI), they are actively seeking to accelerate its adoption across various sectors. This is being done through a robust schedule of pre-events designed to generate widespread engagement from both public and private stakeholders.
Framing the AI Narrative: Beyond Technology
The upcoming global gathering, strategically branded as the India AI Impact Summit 2026, reflects a deliberate intention to emphasize the broader societal and economic influence of AI. Krishnan explained that the “Impact” designation is not accidental. The goal is to highlight how AI can drive economic development and propel India’s growth trajectory. This emphasizes responsible AI, and not just chasing technological advancement for its own sake.
The level of interest in the summit has reportedly exceeded expectations. What began as a plan for 100 pre-events has escalated to over 400, demonstrating enthusiastic participation across a diverse range of industries and organizations. This overwhelming response showcases the growing recognition of AI’s importance within India.
Addressing the Impact of AI on Employment
While celebrating the potential of AI, the government acknowledges the legitimate concerns surrounding its impact on the labor market. Krishnan addressed this head-on, suggesting that while AI may displace some jobs, it will simultaneously create new opportunities.
He emphasized AI’s potential to significantly enhance productivity across numerous sectors, which could lead to overall economic growth and, consequently, new job roles. Essentially, the government is aiming for a proactive approach, anticipating and mitigating potential negative consequences while harnessing the benefits of this transformative technology, including opportunities within the growing semiconductor industry.
Innovation with Responsibility: The Guiding Principle
Innovation is firmly placed at the heart of India’s technology initiative. However, Krishnan stressed the vital importance of anchoring this innovation in a framework of responsibility. This is particularly critical as the nation ventures into the complex realm of artificial intelligence and advanced electronics manufacturing.
He believes a “spirit of responsibility” must guide all development efforts, ensuring that technological progress aligns with ethical considerations and societal well-being. The India AI Impact Summit 2026 is envisioned as a collaborative platform where all stakeholders can work together to achieve this balanced approach.
In conclusion, the commencement of commercial semiconductor manufacturing in India represents a watershed moment for the nation’s technology ambitions. Coupled with a strategic push for AI adoption, underscored by responsible innovation, India is positioning itself for significant economic growth and a prominent role in the global tech landscape. The enthusiasm surrounding the India AI Impact Summit 2026 is a clear indicator of the collaborative spirit and determination driving this transformation, with the overarching goal of achieving developed nation status by 2047 firmly in sight. Further updates on the India Semiconductor Mission can be found on the MeitY website, encouraging continued engagement with this pivotal initiative.

