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U.S. Chip Giant Partners with Tata Group for ₹1.18 Lakh Crore Semiconductor Investment

  • Writer: hastashravanadigit
    hastashravanadigit
  • Dec 18, 2025
  • 2 min read

American chipmaker Intel and Tata Group are joining forces to manufacture semiconductors in India. Two factories will be built, with an investment of ₹1.18 lakh crore. This partnership will rapidly propel India toward becoming a top PC market and an emerging AI manufacturing hub. Learn more.


American chipmaker Intel has signed an agreement with the Tata Group to establish semiconductor manufacturing and assembly facilities in India. This move will significantly transform India's domestic chip capacity and meet growing demand. This partnership will strengthen India's developing semiconductor ecosystem.


India will be among the top 5 PC markets


Both companies will work to develop large-scale solutions for AI-enabled PCs in India. India is projected to be among the top five PC markets globally by 2030. Therefore, this partnership is strategically important for the domestic market.


Investment of ₹1.18 lakh crore


The Tata Group is building these two facilities with a total investment of ₹1.18 lakh crore. This investment is among the largest projects to build chip manufacturing in India and is central to the country's long-term technology strategy.


What Intel said about the deal


Intel CEO Lip-Boo Tan said that India is one of the world's fastest-growing compute markets. He said that the rapidly growing demand for PCs and the rapid adoption of AI present a huge opportunity in India, and the partnership with Tata will help Intel scale rapidly here.


Tata Group's strategy


Tata Sons Chairman N. Chandrasekaran said the partnership will accelerate the creation of a comprehensive technology ecosystem in India. He said the combination of Intel's AI compute technology and Tata's electronics manufacturing capabilities could make India a strong hub for advanced semiconductor and system solutions.


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