Intel to Invest $3.3 Billion in India for Semiconductor Substrate Plant
Intel and the US company 3DGS will invest approximately $3.3 billion to establish a new manufacturing facility in the Indian state of Odisha, as reported by Reuters. This initiative is part of a broader program by the New Delhi government to attract investments in the semiconductor supply chain through economic incentives and dedicated subsidies.
The project will be developed in the Bhubaneswar-Khurda area and is estimated to take five to six years for completion. According to information released by Indian authorities, the new facility is expected to generate over 1,800 highly specialized direct jobs, contributing to the growth of local skills in the technology sector.
The plant will focus on the production of advanced substrates for semiconductor packaging, particularly emphasizing glass substrates and those with high-density interconnections (HDI). These are fundamental components in assembling modern chips, as substrates serve as the base upon which various elements comprising a semiconductor device are mounted and connected.
In recent years, advanced packaging has become one of the most strategic areas in the semiconductor industry. The increasing complexity of processors and solutions dedicated to artificial intelligence has made it increasingly important to adopt technologies that can enhance connection density, electrical performance, and energy efficiency. In this context, glass substrates and HDI solutions represent one of the most promising development trajectories for future generations of products.
The investment by Intel and 3DGS fits into the strategy pursued by the government led by Prime Minister Narendra Modi, which aims to strengthen domestic production and build a local semiconductor supply chain. Through billion-dollar incentive programs, India is trying to position itself as a manufacturing alternative to traditional Asian manufacturing hubs, attracting companies active in both chip manufacturing and complementary activities such as packaging, assembly, and production of specialized materials.
For Intel, the project also represents an opportunity to expand production capacity in a segment increasingly considered critical for the evolution of the semiconductor industry, at a time when the demand for advanced solutions for data centers, AI accelerators, and high-performance systems continues to grow.