New Delhi, June 14: New companies are likely to invest in India to manufacture memory chips while existing investors will scale up production to address the demand-supply gap in the segment, Union minister Ashwini Vaishnaw said in an interview to PTI.
Strong demand for memory (data storage) cards and advanced chips has tightened global supplies and supported higher prices in past quarters, and manufacturers have been sprucing up investments and production capacities to meet market requirements worldwide. The higher memory chip prices have, in turn, led to a rise in production costs for a range of electronic products, including smartphones and laptops. (PTI)
“Definitely, a lot more investment is coming in the memory manufacturing units, and that is because for the first time in the way the semiconductor industry has grown at such a rapid pace, for the first time we are seeing a huge shortage of certain components which are required in the AI data centres, the high bandwidth memory chips,” Vaishnaw said.
Data centre investments in India are expected to cross USD 200 billion soon, which may need billions of gigabytes of storage capacity.
The minister said the government will also look at the indigenous production of complex chemicals and gases that are used for manufacturing chips. (PTI)
