Tata Electronics has formed a strategic partnership with Tokyo Electron (TEL), a leading global provider of semiconductor technology, to secure equipment and services for its upcoming chip manufacturing plants in India. The companies signed a Memorandum of Understanding (MoU) to support Tata’s semiconductor initiatives in Gujarat and Assam.

As part of the agreement, TEL will supply cutting-edge semiconductor machinery and collaborate with Tata Electronics to enhance employee training, spearhead research and development, and ensure ongoing advancements in production. Tata Electronics is currently investing Rs 91,000 crore in building India’s first semiconductor fabrication facility in Dholera and an additional Rs 27,000 crore for a chip assembly and testing unit in Jagiroad.

These facilities will manufacture semiconductor chips for various sectors, including automotive, mobile, and artificial intelligence (AI), catering to both domestic and international markets. The partnership is a crucial step toward positioning India as a competitive player in the global semiconductor arena.

According to Tata Electronics' Managing Director and CEO, Randhir Thakur, the collaboration with TEL will fast-track the development of vital semiconductor infrastructure, crucial to India's technology transformation. TEL also plans to explore opportunities to utilize India's talent pool for global engineering services.

TEL President and CEO, Toshiki Kawai, emphasized that the partnership will advance innovation across diverse technology sectors, combining both front-end manufacturing and back-end packaging expertise.

This collaboration is a key part of India's broader goal to establish a strong semiconductor ecosystem, strengthening the nation’s standing in the global technology market.