US-based chipmaker Advanced Micro Devices (AMD) has announced that it will invest $400 million in India over the next five years. The project which will begin its operation before 2023 and will see the setup of the largest design center of India in Bengaluru, the tech hub of South India.
The announcement was made at The SemiconIndia 2023 conference which featured other key industry leaders like Foxconn Chairman Young Liu and Micron CEO Sanjay Mehrotra. The event highlighted India’s growing momentum in the semiconductor industry.
The news comes as a significant development in India’s drive to become a key player in the semiconductor business. Recently, the country suffered a blow when Foxconn pulled out of a $19 billion deal with Vedanta but AMD’s new initiative could steer the country in the right direction. In recent times, several global firms have shown a keen interest in investing in chip business in the South Asian giant.
AMD said that it will continue and improve upon its two decades of presence in India. The design center will stretch 500,00 square feet and will be AMD’s tenth office in the country.
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AMD Design Center in India to promote chip R&D in the country
The design center will carry out research, design, and other engineering projects. The project finely aligns with the Indian government’s “India semiconductor mission” and will also help AMD to leverage the immense talent pool in the country. The investment also reflects the US-based firm’s confidence in India’s growing potential and capabilities in the chip sector.
AMD started its operation in India in 2001 and currently employs over 6,500 people in the country. The new design center in Bengaluru will create 3,000 jobs, the company has said.
India’s IT Minister has welcomed AMD’s investment plan. The country has announced a $10 billion incentive program to draw the interest of chipmakers which is also thought to be the key reason Foxcoon broke up with Vedanta. Other firms such as Applied Materials and Micron are also engaging in India’s semiconductor ecosystem.