US, India collaborate to strengthen global semiconductor ecosystem
- In Reports
- 12:18 PM, Sep 10, 2024
- Myind Staff
The US Department of State has announced a partnership with the India Semiconductor Mission, part of India’s Ministry of Electronics and IT, to explore opportunities for expanding and diversifying the global semiconductor ecosystem. This collaboration will operate under the International Technology Security and Innovation (ITSI) Fund, established by the CHIPS Act of 2022. The initiative aims to build a more resilient, secure, and sustainable global semiconductor value chain, according to a statement from the US Department of State.
In a video posted by the US-India Strategic Partnership Forum on X, US Deputy Secretary of State Kurt Campbell emphasised the strategic importance of the US-India partnership. “Expanding our partnership with India is one of the most strategically important efforts we have taken in the Biden-Harris administration,” he said, highlighting the partnership’s achievements during Prime Minister Modi’s state visit. He added that "no corner of human enterprise is untouched by the cutting-edge work we are doing together."
Campbell also emphasised the increasing alignment between the two countries, particularly in the last year, with initiatives like INDUS-X—a key component of the US-India Initiative on Critical and Emerging Technology (ICET). “Today, our two countries are more closely aligned than ever before,” Campbell noted, citing summits, joint challenges, and exchanges under INDUS-X.
INDUS-X is expected to be central to ICET, which places technological leadership at the core of the US-India strategic partnership. ICET has already accelerated cooperation across sectors such as space, semiconductors, advanced telecommunications, artificial intelligence, quantum biotechnology, and clean energy. Defence innovation is also a key focus, with Campbell stating, “Our work together driving innovation and developing cutting-edge technologies will help us maintain a critical advantage for our armed forces."
He further highlighted unprecedented operational coordination and technology transfer, referencing the GE engine co-production arrangement and the finalisation of a supply chain security agreement between the two nations. Campbell announced that under INDUS-X, USD 1.2 million in seed funding has been awarded to ten US and Indian companies, with additional joint challenges and a testing consortium in the pipeline.
The partnership between the US and India will begin with a comprehensive assessment of India’s semiconductor ecosystem, covering its regulatory framework, workforce, and infrastructure needs. Insights from this assessment will guide future joint initiatives to strengthen the sector.
The CHIPS Act, signed by US President Joe Biden in August 2022, allocated new funding to boost domestic semiconductor manufacturing and research. The ITSI Fund, created under the Act, provides USD 500 million to support secure semiconductor supply chains and promote collaboration with allies like India.
This partnership underscores the vital role the US and India play in ensuring the global semiconductor supply chain can meet the demands of the ongoing global digital transformation.
Image source: Economic Times
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