To strengthen the nation's chip manufacturing ecosystem, the government announced the Semicon 2.0 program, which will cost Rs 1.27 lakh crore.
The program is broken up into six sections, which include designing chips by Indian companies, establishing capital equipment units for chip production, semiconductor factories, chip assembly, packaging, and testing, among other topics.

"The government has decided to provide ... sustained policy support to the semiconductor sector in India by notifying the Semicon 2.0 Scheme for the development of semiconductor design and manufacturing ecosystem in India."According to the notice, "Semicon 2.0 offers financial support to multiple verticals throughout the entire semiconductor industry value chain, from chip design, fabrication, and packaging to various segments of the semiconductor ecosystem."

By concentrating on the design, development, and implementation of target segment technologies for the country's strategic and vital infrastructure, the program will seek to create robust, reliable, and independent semiconductor technologies.
It will focus on the local development of semiconductor Intellectual Property (IP) cores, chips, system-on-chips (SoCs), and modules for electronic devices, as may be determined periodically depending on strategic priorities and national significance."To achieve this, building blocks will be developed, including standard IPs for various types of Compute, Memory, RF, Power, Networking, Sensors, etc.," the announcement stated.