CHENNAI: Tamil Nadu’s Rs 100-crore semiconductor centre proposed at the IIT-Madras Research Park is moving closer to reality, with the State-owned Tamil Nadu Industrial Development Corporation (TIDCO) joining the initiative and a new company set to be floated to implement the project.
The development comes months after an MoU was signed in January 2026 between the stakeholders for setting up the one-of-its-kind centre, which will bring together semiconductor skilling, micro-fabrication, prototyping and advanced research.
The Rs 100-crore allocation is not a fresh announcement but part of the State’s Tamil Nadu Semiconductor Mission 2030, under which the centre was envisaged as a key capability-building initiative.
The formalisation of the centre is now expected shortly, with the name and structure of the new company likely to be finalised soon.
“The idea is not to create just another skilling centre. We want to bring together workforce development, research and the ability to prototype and productise technologies,” Nat Malupillai, group CEO, IIT-Madras Research Park, Incubation Cell & RTBI, told select media.
A one acre land parcel for the proposed centre near IIT-Madras Research Park, has been identified, he said.
The centre is expected to train around 5,000 people across different levels of the semiconductor ecosystem. It will cater to ITI and diploma holders, engineers, researchers, PhD scholars and senior scientists.
The training programmes are expected to span the semiconductor value chain, including fabrication, assembly, packaging, marking and testing, addressing the growing requirement for specialised manpower as semiconductor manufacturing projects come up across India, Malupillai said.
A key differentiator will be a micro-fabrication facility, which will enable start-ups and smaller companies to develop prototypes and move towards productisation without requiring access to a full-scale commercial fab.
“It will not be a large production-grade fabrication facility. It will support prototyping, productisation and fractional production for smaller companies,” Malupillai said.
The centre will also undertake translational research, particularly in advanced semiconductor technologies and power electronics, leveraging IIT-Madras’ research capabilities and deep-tech start-up ecosystem.
The project could also receive a significant boost from the Centre. The Ministry of Electronics and Information Technology (MeitY) has expressed interest in contributing a significant sum towards the centre, according to Malupillai.
S Krishnan, secretary, MeITY, told DT NEXT: "It’s too early to comment, as we are still examining their proposal."
The proposed institutional structure is expected to bring together the State government, TIDCO and IIT-Madras Research Park, with the new company providing the operational vehicle for the initiative.
For Tamil Nadu, the centre is intended to address two critical requirements emerging from India’s semiconductor ambitions — a specialised talent pool and access to facilities that can take technologies from research and proof-of-concept to prototyping and productisation.
“The large companies will need both skilled manpower and technology capabilities. We want to build the capability to support them on both fronts,” Malupillai said.
With the January MoU now moving towards implementation, the formal constitution of the centre and the new company will mark the next major step in Tamil Nadu’s effort to build a semiconductor ecosystem beyond manufacturing and attract deeper research, design and technology capabilities to the State.