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India Semiconductor Mission Phase 2 and the CDIL-Infineon MoU

7 March 20251 min read
SCIENCE & TECHNOLOGYIndia SemiconductorMission Phase 2 andthe CDIL-InfineonMoU7 March 2025safalsetu.com

Why in the news

The second phase of the India Semiconductor Mission (ISM) is ready and awaits an official announcement; meanwhile two chip firms signed an MoU.

Key facts

  • Phase 2 backs design and supply of raw materials, equipment, gases and specialty chemicals.
  • Goal: a sustainable, competitive ecosystem moving up the value chain.
  • Risks: overcapacity in legacy nodes and need for localised supply chains.

CDIL-Infineon MoU

  • Infineon supplies wafers; CDIL packages and makes discrete and module products for Indian buyers.
  • Focus: e-mobility, renewable energy, efficient appliances, under Make in India.

Exam angle

  • Scheme modified: Design Linked Incentive.
  • Fabless: design without owning fabrication plants.

Test yourself

1. Which scheme will be modified under ISM Phase 2 to support more ambitious fabless projects?

The DLI scheme is to be modified for fabless projects.

2. Under the CDIL-Infineon MoU, what will Infineon supply to CDIL?

Infineon will supply bare die wafers; CDIL packages them.

3. Infineon Technologies, partner of CDIL, is headquartered in which country?

The notes describe Infineon as a German firm.