Tata Electronics has formalized a partnership with Taiwan’s Powerchip Semiconductor Manufacturing Corporation (PSMC) and Himax to establish display chip manufacturing capabilities in Gujarat. The collaboration was officially announced through an MoU signed this week, as confirmed by Tata Electronics CEO and MD Dr. Randhir Thakur at the IESA Vision Summit.
The tripartite agreement aims to leverage the combined strengths of each company: Tata Electronics’ manufacturing infrastructure and market presence in India, PSMC’s semiconductor fabrication expertise, and Himax’s specialized knowledge in display driver ICs and ultralow power AI sensing technologies. The partnership represents a substantial advancement in India’s efforts to develop indigenous semiconductor manufacturing capabilities.
The venture will focus on developing and manufacturing display semiconductor products tailored specifically to meet “Made in India” requirements while also serving global markets. The collaboration extends beyond manufacturing to include chip design, packaging, and electronics manufacturing services for complete system-level solutions. Back in 2024, Tata Electronics and PSMC first agreed to develop advanced semiconductor manufacturing capabilities in India.
The strategic partnership positions Tata Electronics across all three major semiconductor manufacturing segments, with additional investments planned for semiconductor fabrication in Gujarat and a chip assembly plant in Assam.
The timing of this venture is particularly significant amid ongoing global efforts to diversify semiconductor supply chains. The display semiconductor market represents a substantial growth opportunity, with applications spanning consumer electronics, automotive displays, and industrial interfaces. The collaboration is expected to create considerable employment opportunities in the region, adding to Tata Electronics’ existing workforce of over 65,000 employees across operations in Gujarat, Assam, Tamil Nadu, and Karnataka.
