India sets steady path toward local semiconductor industry

Applied Materials Inc., a leading producer of chipmaking equipment, is expanding in India because it believes the country’s supportive government policies and abundant local talent will create the foundation for a promising semiconductor sector.

Prabu Raja, president of the US company’s semiconductor products group, said India is on its way to becoming a major hub for semiconductor packaging and assembly. That should create a solid foundation for the industry, setting the stage for the country to move into more challenging — and expensive — semiconductor manufacturing.