In a noteworthy shift, LG and Samsung are investing in Indian engineers to boost their chip development. This change highlights India’s evolving role in the global semiconductor market, moving from a cost-effective hub to a vital center for high-tech innovation.
India’s Growing Importance in Chip Development
Sources indicate that both LG and Samsung are expanding their design centers in Bangalore. They are hiring skilled engineers in fields like System-on-Chip (SoC) design, artificial intelligence (AI) processors, and semiconductor firmware. They’re focusing on chips for AI, automotive technology, consumer electronics, and the Internet of Things (IoT), as demand for smart devices rises.
Industry leaders reveal that Samsung is prioritizing engineers experienced in advanced chip processes like 3nm and 5nm, as well as memory design. LG is also ramping up its operations in India to enhance innovation for its smart home appliances.
A Shift in Perspective
LG’s Global CEO, William Cho, notes that India is no longer just seen as “cost competitive.” The country is now recognized for its design skills, backed by a pool of over 150,000 skilled engineers. Many of these engineers have contributed to major companies like Qualcomm and Intel.
This focus aligns with the Indian government’s Semiconductor Mission, a ₹76,000 crore initiative to develop local chip design and manufacturing capabilities.
Supporting India’s Self-Reliance
This strategy supports India’s Atmanirbhar Bharat, or “Self-Reliant India” vision. By investing locally, LG and Samsung are creating jobs in high-tech sectors and strengthening India’s position in the global market. It also helps build a more resilient semiconductor supply chain, reducing dependence on East Asia.
Venture Capital and Policy Support
Currently, venture capital investment in Indian semiconductor startups is growing rapidly, from $5 million in 2023 to $28 million in 2024. The Indian government is backing this growth through Design Linked Incentive schemes and Production Linked Incentives.
As CPUs, GPUs, AI accelerators, and SoCs become essential to modern technology, LG and Samsung’s focus on India showcases confidence in the nation’s tech ecosystem and engineering talent.
Investing in local talent not only enhances technology development but also fosters innovation that can revolutionize industries. This is an exciting time for India as it steps into a more significant role in global tech.
