US-based chip maker Intel has signed an agreement with Tata Group to manufacture and assemble semiconductors in India for the local market, the Indian conglomerate said on Monday.
Under the agreement, Intel and Tata intend to explore the opportunity to rapidly scale tailored AI PC solutions for consumer and enterprise markets in India, which is projected to be one of the top five markets globally by 2030.
"Intel and Tata intend to explore manufacturing and packaging of Intel products for local markets at Tata Electronics' upcoming Fab and OSAT (Outsourced Semiconductor Assembly and Test) facilities, as well as a collaboration for advanced packaging in India," the Tata Group statement said.
1 December 2025
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Tata Group is setting up a chip manufacturing plant in Dholera, Gujarat, and a semiconductor assembly and packaging plant in Assam, entailing a total investment of Rs 1.18 lakh crore.
"We see this as a tremendous opportunity to collaborate with Tata to rapidly scale in one of the world's fastest-growing compute markets, fuelled by rising PC demand and rapid AI adoption across India," Intel Corporation CEO Lip-Bu Tan said.
The collaboration would leverage Intel's AI compute reference designs, Tata Electronics' industry-leading Electronics Manufacturing Services (EMS) capabilities, and broad access to the Indian market through Tata Group companies.
"We are excited to collaborate with Intel, and this strategic alliance would accelerate our efforts. Together, we will drive an expanded technology ecosystem and deliver leading semiconductors and systems solutions, positioning us well to capture the large and growing AI opportunity," Tata Sons Chairman N Chandrasekaran said.
