Applied Materials has announced an investment plan of $5 billion in India over the next decade, with the company saying it will expand research, workforce and supply-chain capacity in the country.
The announcement came during SEMICON India 2026 in New Delhi. A government summary of the event said the company's India Vision 2035 includes a tenfold expansion of its India-based supply-chain capacity, while other equipment and materials companies also announced manufacturing and training initiatives.
The bigger question is how much of the semiconductor value chain India can localise. Chip manufacturing depends not only on fabs, but also on equipment, specialty materials, packaging, design, testing, skilled workers and reliable infrastructure. Investment commitments are therefore an input; execution, technology depth and commercially competitive production will determine the outcome.
