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The Economic Times
The Economic Times

Micron to scale up India chip assembly multifold next year as semiconductor mission shifts to execution

Micron Technology will scale up its semiconductor assembly and testing operations at Sanand, Gujarat, by multifold next year, as India’s semiconductor policy push moves the industry from planning to commercial production, CEO Sanjay Mehrotra said on Thursday.

Speaking at the inaugural session of SEMICON India 2026, Mehrotra said the India Semiconductor Mission and its second phase had provided the industry with a foundation it previously lacked, while the company’s growing operations were creating jobs and integrating India into its global memory-chip supply chain.

Also read: Applied Materials announces $5 billion India investment under Vision 2035 for semiconductor ecosystem

"For decades, people have talked about India's semiconductor potential. I have been in many of those conversations. Potential does not ship products. What I see in India today is execution," Mehrotra said.

Micron has been present in India for seven years and employs more than 7,000 people directly, with its operations supporting tens of thousands of additional jobs across the value chain, he said.

"Earlier this year, we began commercial production at Sanand, Gujarat. It is the first semiconductor assembly and test facility here in India and the first project under the India semiconductor mission...finished DRAM and NAND products are now leaving Gujarat for customers around the world carrying a label this country has waited a long time to put on a memory chip - the Made in India," he said.

Micron to expand chip output from Gujarat

The company’s current production capacity at Sanand already exceeds the memory required for India’s entire laptop market, Mehrotra said, underlining the scale of its operations even as domestic semiconductor manufacturing remains in an early phase.

"This year, we will assemble and test tens of millions of chips at Sanand. Next year, hundreds of millions of chips," he said.

Micron designs memory chips in Bengaluru and Hyderabad, assembles them in Gujarat and ships them to customers across every continent, he said.

"Our engineering in India began long before the factory did. Our centres in Hyderabad and Bangalore are now a core part of Micron's global technology network. Our India teams have contributed to more than 3,700 patents, inventions, and disclosures," the Micron CEO said.

"The India Semiconductor Mission and now ISM 2.0 gave this industry a foundation it did not have before," he added.

The expansion comes as demand for memory chips rises sharply on the back of artificial intelligence, with Micron recording around 1,400 per cent growth in its business, Mehrotra said.

Also read: SEMICON India 2026: India’s chip story has moved from files to factories, says PM Modi

AI demand drives memory and storage growth

"Let me tell you why this matters far beyond our company. AI is the defining technology of our time. AI begins with data. There is no model without data. And data cannot move, scale, or turn into an answer without memory and storage," Mehrotra said.

He said every time a model gets bigger, the demand for memory gets even bigger.

"The world is going to need memory that is faster, denser, and far more efficient at power. And Micron builds that memory," Mehrotra said.

(With inputs from PTI)

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