Semiconductors demand in India is over USD 10 Billion. India also has a vibrant chip design industry in the country. R&D capabilities in VLSI and chip design are also exemplified by the Centre of Excellence in Nanoelectronics at Indian Institute of Science, Bangalore and Indian Institute of Technology, Bombay.
India has embarked on the journey of setting up semiconductor wafer fab on commercial basis. Two consortia have initiated work in this regard. The proposed location is Greater Noida in Uttar Pradesh, about 40 kms from New Delhi and in Prantij in Gujarat about 50 kms from Gandhinagar.
This page provides information regarding development of semiconductor industry in India.