After smartphones, Noida in Uttar Pradesh can also become a hub for semiconductors. The joint venture of Taiwanese company Foxconn and IT service provider HCL has been allotted land in Noida. The joint company can set up a plant to manufacture semiconductors at this place.
Semiconductors will be assembled and tested
An ET report quoted people familiar with the matter as saying that Foxconn and HCL’s JV has been allotted land in the Yamuna Expressway Industrial Development Authority area, which is near the international airport being built in Jewar, Noida. They say that the joint company can set up a semiconductor outsourced assembly and testing plant at this place. That is, semiconductors can be assembled in this plant.
Noida is already a hub of the smartphone industry
Noida in Uttar Pradesh has already become the hub of the smartphone industry in the country, where many smartphone companies including Samsung have their plants. With the joint plant of Foxconn and HCL, Noida can also become a hub in the case of semiconductors. The government is already paying special attention to make India self-reliant in the case of semiconductors and has announced a production-related incentive scheme.
Foxconn is going to invest this much
According to sources, the Taiwanese company is going to invest $37.2 million in the joint venture between Foxconn and HCL, in return for which it will have a 40 percent stake in the JV. The remaining 60 percent stake will remain with HCL. This joint venture is being formed to manufacture semiconductors in India. Earlier, Foxconn had prepared a plan to manufacture semiconductors in India in collaboration with Vedanta, which later went sour.
HCL has its headquarter in Noida
Noida in Uttar Pradesh is already special for HCL because the company’s headquarters is located there. This is why HCL was preferring Noida over other options for the proposed semiconductor plant. With its already strong presence in Noida, it will be easier for the company to manage things for the new venture. If this plant succeeds, then semiconductor assembly will take place in Uttar Pradesh for the first time.
Also read: Another semiconductor unit will be set up in India, the country’s first chip will be made in 2025
