Group 1 - Indian Prime Minister Modi announced the restart of the "semiconductor strategy" aiming for local chip manufacturing, with the first "Made in India" chip expected by the end of 2025 [1][7] - ASML's CEO, Christoph Fuque, expressed optimism about collaborating with Indian chip manufacturers and highlighted India's potential as a partner in the semiconductor industry [1][3] - ASML has established a presence in India and is sending more executives to explore opportunities for collaboration in the semiconductor supply chain [3][4] Group 2 - ASML has not yet invested significant funds in India but sees it as a rapidly growing market, contributing 27% of its system net sales from China and Taiwan [4][5] - The Indian semiconductor market is projected to exceed $55 billion by 2026 and reach $100 billion by 2030, driven by demand in smartphones, automotive, and 5G IoT sectors [5][7] - The Indian government previously launched the "Semicon India" initiative with an initial budget of $8.7 billion, but the results have been limited [7][8] Group 3 - Recent geopolitical tensions have shifted ASML's focus towards India as a new potential market amid challenges in sales to China [4] - The collaboration between India and Japan is also emphasized, with Japan supporting its companies in the Indian semiconductor market [7][8] - Despite government incentives, local knowledge accumulation and technology transfer remain challenges for India's semiconductor ambitions [8]

Core Viewpoint - India is reviving its semiconductor strategy, aiming for local chip manufacturing, with the first "Made in India" chip expected by the end of 2025, supported by ASML's collaboration [1][6]. Group 1: ASML's Involvement - ASML's CEO, Christoph Fuque, expressed optimism about collaborating with Indian chip manufacturers and emphasized India's potential as a partner in the semiconductor industry [1][3]. - ASML plans to establish partnerships and knowledge exchange with Indian firms, aiming to enhance the performance of local wafer fabs through advanced lithography solutions [1][3]. - Currently, ASML's operations in India are limited, but the company is optimistic about future opportunities as India's semiconductor industry develops [3][4]. Group 2: Market Potential and Growth - The Indian semiconductor market is projected to exceed $55 billion by 2026 and reach $100 billion by 2030, driven by demand in smartphones, automotive, and 5G IoT sectors, along with government support [4][6]. - Initial focus in India may be on low-end chip manufacturing rather than advanced chips for AI technology [4][6]. Group 3: Government Initiatives and Challenges - The Indian government initiated the "Semicon India" program in 2021 with a budget of approximately $8.7 billion, aiming to support up to 50% of project costs across the semiconductor supply chain [6][7]. - Despite government efforts, there have been challenges in attracting foreign investment and technology transfer, with concerns about the effectiveness of subsidies and the need for a local market [7][8]. - Analysts highlight that India's semiconductor industry is still small and faces significant competition from China and the US, indicating a need for further development and market segmentation [7][8].

Group 1 - Indian Prime Minister Modi is set to visit Japan on August 29-30 to discuss economic cooperation and investment, focusing on semiconductor and AI sectors [1] - Japan plans to support its companies in entering the Indian market, particularly in AI and semiconductor fields, while also facilitating the transfer of skilled professionals from India [1] - The Japanese government is encouraging its companies to relocate non-advanced technology production to India, covering sectors like semiconductors, LCDs, and solar power equipment [1][2] Group 2 - A joint venture between Japanese companies and Indian conglomerates is being established, with both governments sharing investment and production plans [2] - India aims to achieve semiconductor self-sufficiency, with the first "Made in India" chip expected to hit the market by the end of 2025 [2] - The Indian government initiated the "Semicon India" program in 2021 with an initial budget of approximately $8.7 billion, promising to cover up to 50% of project costs [2] Group 3 - Analysts highlight that India's semiconductor industry is currently small and lacks competitive export capabilities, facing significant gaps in production scale and technology compared to the US and China [3] - Concerns have been raised regarding the effectiveness of India's policies in fostering local knowledge and technology transfer, with criticisms that foreign companies are primarily benefiting from cheap labor without significant technology sharing [2][3] - The lack of a robust local market is seen as a barrier to attracting foreign semiconductor companies, even with substantial government funding [3]

Core Viewpoint - India's semiconductor strategy is being revitalized, with the first "Made in India" chip expected to enter the market by the end of 2025, highlighting the government's focus on the semiconductor industry as a key to economic security and strategic autonomy [1] Market Outlook - The Indian semiconductor market is projected to grow from $45 billion to $50 billion by 2025, and further expand to $100 billion to $110 billion by 2030, driven by the domestic demand for electronic products and manufacturing [1] - The government has initiated the "Semicon India" program with an initial budget of approximately $8.7 billion, committing to cover up to 50% of project costs across the entire semiconductor supply chain [2] Industry Development - The Indian government has approved four new semiconductor projects with an investment of approximately ₹46 billion, bringing the total number of approved projects to ten, with a focus on creating decentralized industrial clusters and advancing compound semiconductors and advanced packaging [3] - The domestic chip production will be a collaboration between Indian Semiconductor Manufacturing Company and Israel's Tower Semiconductor, targeting a monthly production capacity of 50,000 wafers of 28nm mature process chips [3] - The government aims to train 85,000 semiconductor engineers and has established the Design Linked Incentive (DLI) scheme to support local semiconductor design firms [3] Challenges - Despite the promising market outlook, the Indian semiconductor industry faces challenges, including a shortage of highly specialized talent in advanced manufacturing processes and packaging [4] - The local infrastructure and supply chain for semiconductor production, including stable utilities and logistics networks, are still underdeveloped, which may hinder large-scale production [4] - The global semiconductor landscape is competitive, with major economies prioritizing their semiconductor industries, making it crucial for India to find its niche rather than merely striving to stand out [4]

Core Insights - The article discusses the ambitions of Mexico, Malaysia, and India to enhance their semiconductor design and manufacturing capabilities, aiming to reduce reliance on imports and improve their positions in the semiconductor supply chain [2][3][4]. Group 1: Mexico's Semiconductor Ambitions - Mexico plans to establish a semiconductor center that will significantly reduce its annual chip import expenditure by $24 billion [2]. - The country aims to transition from merely assembling chips to designing and manufacturing them, with a target for local companies to produce traditional chips by 2030 [4][5]. - Currently, Mexico has only a few local chip design companies, and it lacks advanced manufacturing facilities, requiring substantial investment and participation from both government and private entities [5][6]. Group 2: Malaysia's Strategy - Malaysia has launched a national semiconductor strategy aiming to attract approximately $116.8 billion in investments by 2030, focusing on building a substantial local industry [3][4]. - The country has signed an agreement to pay $250 million to ARM Holdings for chip design blueprints, intending to create ten local chip companies with potential revenues of up to $2 billion each [4]. - Despite its ambitions, Malaysia faces challenges such as a shortage of skilled engineers, with the demand in the electrical and electronics sector being ten times higher than the annual output of engineering graduates [9]. Group 3: India's Challenges - India has faced difficulties in establishing a comprehensive semiconductor industry despite significant government support and investment commitments, with past initiatives failing to materialize [6][7]. - The only large-scale project currently in preparation is a collaboration between Tata Electronics and Taiwan's PSMC to build a chip manufacturing plant valued at $11 billion, set to begin operations soon [7]. - India also struggles with a shortage of manufacturing and packaging talent, which hampers its ability to develop a self-sufficient semiconductor ecosystem [9]. Group 4: Expert Opinions and Concerns - Experts express skepticism about the feasibility of these countries achieving a complete semiconductor supply chain, citing the complexity of the industry [3]. - The lack of qualified engineers is a significant concern for all three countries, with many companies relying on foreign talent to fill gaps in expertise [8][9]. - The article highlights the need for substantial investments in training and development to build a sustainable semiconductor workforce in these nations [9].

Core Viewpoint - Malaysia is actively reshaping its position to become a core participant in the global semiconductor supply chain, aiming to attract over 500 billion Malaysian Ringgit (approximately 107 billion USD) in public and private investments through its National Semiconductor Strategy (NSS) launched in May 2024 [1][2]. Investment and Incentives - The Malaysian government has committed to providing 25 billion Malaysian Ringgit (approximately 5.3 billion USD) in incentives, including tax exemptions, grants, and infrastructure support to attract foreign investors and local entrepreneurs [2]. - Major semiconductor manufacturers like Intel and Infineon are expanding their operations in Malaysia, with Intel investing 7 billion USD in Penang and Infineon committing 5 billion Euros to enhance its power semiconductor capacity in Kulim [2]. Talent Development - The NSS includes an ambitious plan to train and upskill 60,000 local engineers to meet the complex demands of modern semiconductor manufacturing [2][3]. - A dual training system has been approved to combine classroom learning with practical factory experience, aiming to address the current skills gap and retain top engineering talent by offering competitive salaries [3]. Local Industry Growth - The NSS aims to nurture at least 10 local advanced packaging and integrated circuit (IC) design companies, with each expected to generate revenues between 1 billion to 4.7 billion Malaysian Ringgit (approximately 210 million to 1 billion USD) by 2030 [3]. - Government-related investors are creating targeted funding pools to support local deep-tech startups, emphasizing the commercialization of research outcomes in semiconductor physics and materials science [3]. Strategic Positioning - Malaysia's strategic location at the crossroads of East Asia and West Asia, along with its political neutrality, makes it an ideal place for semiconductor companies seeking to diversify their production bases [3][4]. - The country is enhancing its appeal as a regional semiconductor hub by actively participating in regional trade agreements and fostering cross-border R&D collaborations [4]. Sustainability and ESG Focus - Malaysia is positioning itself as a forward-thinking and environmentally conscious manufacturing base, integrating renewable energy and carbon tracking tools in semiconductor production [4]. - The NSS aligns with Malaysia's push for sustainable manufacturing practices, which is increasingly prioritized by technology companies [4]. Long-term Vision - Malaysia's investment in the semiconductor sector is not just about factories and engineers but also about establishing long-term technological sovereignty amid accelerating global semiconductor competition [5].

Core Viewpoint - The Irish government has unveiled a semiconductor strategy aligned with the European Chips Act, aiming to enhance its semiconductor industry and position itself as a key player in Europe by creating high-value jobs and attracting significant investments [1][2]. Group 1: Strategic Goals - The primary objective of Ireland's semiconductor strategy is to leverage its existing semiconductor footprint to ensure the security of the European semiconductor supply chain [2]. - The strategy includes plans to attract major manufacturers like Samsung and TSMC to establish factories in Ireland [1]. - By 2040, Ireland aims to support up to 34,500 new semiconductor jobs, as stated by the Minister for Enterprise, Trade and Employment [2]. Group 2: Investment and Infrastructure - The European Chips Act promises to provide €43 billion in policy-driven investments by 2030 to support various initiatives, including next-generation technologies [1]. - Ireland's strategy involves ensuring significant industrial investments, with ambitious plans to establish a leading chip manufacturing facility, two advanced foundries, and an advanced packaging plant [2]. Group 3: Ecosystem Development - Ireland has over 130 semiconductor companies, employing 20,000 people, with an annual export value of €13.5 billion [1]. - The government is committed to enhancing research and development, supporting innovation, and fostering a collaborative open ecosystem in the semiconductor sector [3]. - A comprehensive map of the Irish semiconductor ecosystem has been released to promote connections between research and innovation clusters and to engage the education system to meet the growing talent demand [2].

Core Insights - Malaysian Prime Minister Anwar Ibrahim met with AMD CEO Lisa Su on May 6, discussing AMD's support for the national semiconductor strategy [1] - AMD expressed a positive stance towards policies related to ensuring and establishing supply chains [1] - Malaysia is optimistic about forming strategic partnerships with companies like AMD [1]