ISMC Semiconductor Facility Plan In India Stalled After Tower-Intel Deal
The International Semiconductor Consortium’s (ISMC) USD 3 billion facility that counted Israeli chipmaker Tower as a tech partner has been stalled due to the company's ongoing takeover by American multinational, Intel, according to media reports.
They claim that a second mega USD 19.5 billion plan is under works which will look to build chips locally between India's Vedanta and Taiwan's Foxconn, a joint venture aimed to rope in European chipmaker STMicroelectronics as a partner.
A report said that challenges faced by the companies meant a major setback to Prime Minister Narendra Modi’s chipmaking vision which aimed at bringing in a new era in electronics manufacturing by attracting companies worldwide.
According to reports, India had received three applications to set up plants under a USD 10 billion incentive scheme last year. The applications were from the Vedanta-Foxconn JV and Singapore-based IGSS Ventures.
Meanwhile, ISMC's USD 3 billion chipmaking facility plans are currently on hold due to regulatory approvals and Tower’s delay in signing binding agreements as things remain under review after Intel acquired it for USD 5.4 billion last year, mentioned media reports.
None of the reported organisations involved in the semiconductor business have officially confirmed the halt.
