Bridging Bangalore Chip Design Prowess: India Strategic Move in the Semiconductor Arena

Defense News ,India :- In a recent revelation at the Global AI Conclave on December 16, renowned author Chris Miller, the mastermind behind the acclaimed "Chip War," emphasized India burgeoning potential in the global semiconductor value chain. With tens of thousands of chip designers in Bangalore, India is poised to make significant strides towards becoming a pivotal player in the semiconductor landscape.

Miller highlighted the crucial elements for a successful chip design or fabless firm—access to a robust capital market, a supportive venture capital ecosystem, and a substantial user base. While India has launched a $10 billion chip subsidy scheme to attract semiconductor manufacturers, Miller suggested that the real promise lies in focusing on chip design.

Expressing his perspective, Miller stated, "Chip design offers substantial value addition, making it a strategically sound choice. However, if the goal is to generate employment for a large workforce, chip packaging emerges as a viable option. Politicians often favor manufacturing facilities for their visibility, allowing them to partake in ribbon-cutting ceremonies and photo opportunities."

Highlighting the prevailing dynamics in the chip industry, Miller noted, "The majority of the value in the chip industry still resides in chip design. Conversations with industry leaders, such as TSMC, reveal a preference for a model akin to Nvidia, underlining the importance of prioritizing design expertise."

Miller"s book, "Chip War," released in October 2022, offers a comprehensive account of the enduring battle for control over microchip technology—a domain integral to various facets of the modern world, ranging from military applications like missiles to everyday essentials like microwaves, smartphones, and the intricacies of the stock market. As India navigates its way through the semiconductor landscape, the focus on chip design emerges as a strategic move with far-reaching implications.