The Union Cabinet of India has approved two new semiconductor projects under the first phase of the country’s semiconductor mission, marking the completion of the initial rollout of the program. The combined investment for the newly cleared units stands at ₹3,936 crore and will be supported through the ₹76,000 crore allocation set aside for the India Semiconductor Mission launched in 2022.
Announcing the decision, Ashwini Vaishnaw said both facilities will be established in Gujarat. With these latest approvals, the total number of projects sanctioned under ISM 1.0 has reached 12, taking overall committed investments to nearly ₹1.65 lakh crore.
The government is now shifting focus toward the next stage of the initiative, ISM 2.0, which is expected to involve investments exceeding ₹1 lakh crore.
A major highlight among the newly approved projects is the Crystal Matrix facility planned for Dholera. Officials see the unit as part of India’s effort to position itself early in the rapidly evolving MicroLED display sector. While LCD manufacturing has long been dominated by countries such as Japan, South Korea, Taiwan, and later China, policymakers believe the industry is now transitioning toward newer display technologies.
The Crystal Matrix project, with an investment of ₹3,068 crore, will manufacture gallium nitride wafers used in MiniLED and MicroLED displays, alongside advanced semiconductor packaging technologies. These components are expected to support applications ranging from augmented and virtual reality systems to large video displays, studio production equipment, defense technology, and medical imaging solutions.
India’s entry into this space comes at a time when the global MicroLED industry is still developing, with companies such as Sony and Samsung currently among the leading players driving innovation in the segment.
