ISM 2.0 to Boost India’s Chip Self-Reliance

India Semiconductor Mission (ISM) 2.0 is linked with India’s semiconductor policy framework and the development of domestic chip manufacturing capacity. Semiconductors are materials with electrical conductivity between that of a conductor and an insulator, and they are used in chips for electronics, automobiles, telecom equipment, and defence systems.

India Semiconductor Mission

The India Semiconductor Mission was launched in 2021 under the Ministry of Electronics and Information Technology. It functions as the nodal agency for semiconductor and display ecosystem development in India. The mission covers fabrication units, display fabs, compound semiconductors, assembly, testing, marking, and packaging facilities.

Semiconductor Value Chain

The semiconductor value chain includes design, fabrication, assembly, testing, and packaging. Chip fabrication requires ultra-clean facilities, specialised chemicals, photolithography tools, and high-purity silicon wafers. Assembly, testing, marking, and packaging are commonly called ATMP or OSAT activities in the electronics industry.

Policy and Industrial Context

Semiconductor manufacturing is capital-intensive and depends on stable power supply, water availability, precision equipment, and skilled technical manpower. India has expanded its electronics manufacturing base in mobile phones, consumer electronics, and industrial devices, which creates demand for domestic chip supply chains. Semiconductor fabs are also linked with strategic sectors such as defence electronics, space systems, and automotive electronics.

Important Facts for Exams

• Silicon is the most widely used semiconductor material in integrated circuits.
• ATMP stands for Assembly, Testing, Marking and Packaging.
• OSAT stands for Outsourced Semiconductor Assembly and Test.
• Semiconductor chips are used in smartphones, computers, electric vehicles, and satellites.

Related Static GK

India’s semiconductor policy framework is associated with electronics manufacturing, digital infrastructure, and industrial supply-chain development. The Ministry of Electronics and Information Technology is the central ministry responsible for the mission.