American chipmaker Advanced Micro Devices, or AMD, has unveiled plans to invest approximately $400 million in India over the next five years, Reuters reported. This strategic investment will include the establishment of AMD’s largest design center in Bengaluru, commonly known as India’s tech hub. The announcement was made by AMD’s Chief Technology Officer Mark Papermaster during the SemiconIndia 2023 conference, which was inaugurated by Prime Minister Narendra Modi in Gandhinagar.
The investment comes as India aims to establish itself as a semiconductor manufacturing hub and reduce its reliance on other countries, particularly China. AMD’s expansion in India is seen as a significant step towards achieving this goal. The company has been operating in India for over two decades and sees great potential in the country’s semiconductor industry.
“Our investment will build on over two decades of growth and successful presence here in India,” said Mark Papermaster in his keynote speech. “Through these investments, AMD will further expand our R&D capabilities in India to be able to drive our semiconductor design innovation in support of the government’s India semiconductor mission and drive to make India a strong semiconductor talent and nation.”
The new design center, expected to be operational by the end of 2023, will cover an area of 500,000 square feet and will become AMD’s largest facility in India. The company currently has a presence in multiple locations in India, including Delhi, Gurugram, Hyderabad, and Mumbai, but the new Bengaluru campus will add to the total number of AMD offices in the country, bringing it to 10.
As part of the expansion, AMD plans to create around 3,000 new engineering roles within the next five years, adding to its existing employee base of more than 6,500 in India. The Bengaluru center will serve as a hub for semiconductor design and innovation activities, bolstering India’s potential to become a key player in the global semiconductor industry.
The Indian government has been actively encouraging investments in the country’s nascent chip sector, and AMD’s commitment reflects the growing interest and opportunities in India’s semiconductor market. With this major investment, AMD aims to strengthen its presence in India and contribute significantly to the development of the country’s semiconductor ecosystem.
The chipmaker’s investment aligns with the growing trend of companies exploring India as an attractive destination for chip manufacturing and design. As the world seeks diversification in supply chains and moves towards a “China plus One” strategy, India’s semiconductor industry is poised for substantial growth, and AMD’s substantial investment signals its confidence in India’s potential as a significant player in the global semiconductor landscape.
