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India Selects 23 New Chip Design Projects to Help Indian Companies and Startups

  • Writer: News Desk
    News Desk
  • Jul 31
  • 2 min read

Updated: Aug 5

An informative breakdown of the 23 New Chip Design Projects under India’s Semicon India Programme, featuring budget allocation, target beneficiaries, and core focus on semiconductor innovation for startups and MSMEs.

The Government of India has approved 23 new projects under the Design Linked Incentive (DLI) Scheme to help Indian companies, startups, and small businesses make microchips (semiconductors) in India. This is an important step for India to become less dependent on other countries for electronic parts and to boost Indian technology.


What is the DLI Scheme?

The Design Linked Incentive (DLI) Scheme is part of a larger ‘Semicon India Programme’ announced by the Indian Government. The government has set aside ₹1,000 crore for the DLI Scheme. This special scheme gives financial help to Indian companies, startups, and small businesses (MSMEs) that work on designing microchips.


How Does This Help Indian Companies?

Explains how India’s 23 New Chip Design Projects address high design costs, offer financial aid, and provide access to modern tools, empowering Indian startups and MSMEs in semiconductor development.

Designing and making chips is very expensive and needs special tools and skills. Many times, small Indian companies and startups cannot afford these costs. The DLI Scheme helps them by giving funds so these companies can focus on chip design in India, use modern tools, and finish their projects.


Key Achievements So Far

Since 2021, many Indian companies and institutes have joined the DLI Scheme. The government has so far allotted ₹803.08 crore for projects, which also includes money for buying important chip design software (Electronic Design Automation tools).

Recently, 17 Indian academic institutions, working under this scheme, successfully designed and developed 20 different types of chips at the Semiconductor Laboratory (SCL) in Mohali. This is a big achievement and shows Indian expertise in this area is growing.


How is The Scheme Managed?

The government works very closely with all the companies and institutions taking part in the DLI Scheme. It speaks to them regularly and checks if there are any new needs or difficulties. If something needs to be changed, the scheme is updated. Support from the scheme is given step by step. As a company completes a milestone, it gets more financial help, ensuring the projects move forward as planned.

Visual summary of India's 23 New Chip Design Projects, highlighting strategic benefits such as milestone-based financial support, job creation, government collaboration, and India's ambition to become a global chip design leader.

Why Is This Important for India?

Having the skills and ability to design and produce chips inside India is important for the country’s future. It will help create new jobs, strengthen local industry, and reduce the need to buy expensive chips from outside India.

With the DLI Scheme, more Indian companies, new startups, and small businesses can enter the microchip industry. This could make India an important country in the world for chip design and technology.


Government's View

Union Minister for Electronics and Information Technology, Shri Jitin Prasada, informed Parliament that the government is fully committed to running the DLI Scheme in the best way. The scheme will be improved based on suggestions from the industry and as per global trends. This will make sure Indian companies continue to get the support they need in microchip design and development.

In summary, the approval of these 23 chip design projects is a key step for India. It will help Indian companies move ahead in technology and become strong players in the world of electronics.

 

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