Government Boosts Semiconductor Development with Design-Linked Incentives

The government has approved financial support for 23 companies developing chipsets under the design-linked incentive scheme. The initiative aids domestic semiconductor design by providing up to 50% cost incentives, encouraging commercialization and scaling. Minister Jitin Prasada shared the details, highlighting support for various tech applications.

In a bid to strengthen the semiconductor industry, the government has sanctioned financial assistance under the design-linked incentive scheme to 23 companies focused on developing chipsets. The decision was disclosed to the Parliament by Minister of State for Electronics and IT, Jitin Prasada.

The minister stated that ten of these companies have secured venture capital funding to enhance their design prototypes for commercial use, while six have advanced their prototype designs at mature technology nodes in prominent semiconductor foundries.

The scheme's financial incentives cover up to 50% of eligible costs, capped at Rs 15 crore per application, aimed at facilitating design prototyping, scaling, and production. To aid commercialization, financial incentives on net sales turnover are also available, promoting the development of semiconductor solutions for various applications, including surveillance cameras and networking.

(With inputs from agencies.)