Sanand in Gujarat has become India's busiest semiconductor cluster: Micron, Kaynes Semicon and CG Power (with partners Renesas and Stars Microelectronics) are all running chip assembly and test plants there in 2026. These are OSAT/ATMP facilities that package and test chips rather than fabricating the silicon, but they're the first large-scale chip manufacturing India has had.
What's in production
- Micron: its assembly, test, marking and packaging plant opened in February 2026, with a target of around 6.3 million chips a day at full capacity.
- Kaynes Semicon: inaugurated on March 31, 2026, with roughly ₹3,307 crore invested. It makes intelligent power modules for automotive and industrial use, and its first output went to Alpha and Omega Semiconductor.
- CG Power (CG Semi): its first plant reportedly began commercial production in July 2026. It's a ₹7,600 crore project with about 300 million units a year of peak capacity, and a second phase is under construction.
Capacity figures differ slightly between sources, so treat them as approximate.
What OSAT means
Making a chip has two big stages. Fabrication builds the circuits on a silicon wafer, which is what the upcoming Tata fab in Dholera will do. Assembly and test (OSAT/ATMP) cuts the wafer into chips, packages them, and tests them before they go into products. Packaging is increasingly where performance gains come from, especially for AI chips.
Why a web developer is writing about this
Because a domestic chip industry builds the wider tech ecosystem: engineering jobs, suppliers, and demand for software, from factory dashboards and supply-chain portals to B2B websites for the hundreds of component and service firms that grow around a cluster like this.
I've built websites for industrial firms, like electroplating, shot blasting and compressor-equipment suppliers (see my work), and the same needs come up every time: technical catalogues, quote requests and credibility for procurement teams.
Building for India's manufacturing boom
At NextGen Fusion, our web and software development company in Lucknow, we build B2B websites, RFQ systems and dashboards for manufacturers and industrial suppliers.
