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Micron to Begin Production at Gujarat Facility by February-End, Says S Krishnan at India AI Impact Summit 2026

Micron Technology is set to start commercial production at its assembly, test, marking, and packaging (ATMP) facility in Sanand, Gujarat, by the end of February, S Krishnan, Secretary at the Ministry of Electronics and IT (MeitY), announced at the ongoing India AI Impact Summit 2026.

“This will mark India’s first commercial-scale semiconductor production,” Krishnan said, highlighting the significance of the milestone. The ATMP plant, approved by the Prime Minister Narendra Modi-led government in June 2023, represents an investment of ₹22,516 crore and is expected to reach a production capacity of around 14 million units per week once fully operational.

Focus on AI-Driven Semiconductor Technologies

Krishnan noted that Micron’s facility will eventually produce high-bandwidth memory (HBM), a critical component for artificial intelligence (AI) computing infrastructure and data storage. “India has always contributed to semiconductor design, and now we are becoming an active part of manufacturing,” he said, adding that government support for the electronics and semiconductor segments will continue.

The development aligns with broader efforts to bolster India’s AI ecosystem. Under the IndiaAI Mission, the government provides subsidized access to graphics processing units (GPUs) for startups, academia, and MSMEs to accelerate AI research and innovation. Over 38,000 GPUs have been onboarded for use in a common compute facility at competitive rates.

Growing Semiconductor Investments in India

The government has approved ten semiconductor projects across India, including two fabrication units and eight packaging facilities, with total investments projected at approximately ₹1.6 lakh crore. Pilot production has already commenced at four units.

Krishnan emphasized the link between semiconductors and AI infrastructure, noting that private sector participation in establishing data centers and advanced computing facilities is being actively encouraged. Additionally, 12 Indian teams, including Sarvam AI, Soket AI, Gnani AI, IIT Bombay Consortium, and Tech Mahindra Maker’s Lab, have been selected to develop large and small language models using Indian datasets.

“The IndiaAI initiative, launched in March 2024 with a ₹10,372 crore outlay, is enabling India to become a global hub for AI innovation and semiconductor manufacturing,” Krishnan said, underscoring the government’s commitment to creating a robust AI and semiconductor ecosystem.