India’s semiconductor ambitions are set to receive a major boost as Intel Corporation gears up for its first strategic involvement in a domestic chip packaging facility. Intel CEO Lip-Bu Tan is likely to visit Odisha later this year for the groundbreaking ceremony of the 3D Glass Solutions (3DGS) semiconductor packaging plant, according to senior officials from the Odisha Electronics and IT Department. The facility, backed by US tech giants including Intel, Lockheed Martin, and Applied Materials, is expected to begin commercial chip production within two years.
The 3DGS plant will be developed by Heterogeneous Integration Packaging Solutions Pvt Ltd and will be located in Bhubaneswar’s InfoValley tech cluster. With an investment of ₹1,943 crore, the unit will have an annual production capacity of 5 crore semiconductor units, making it one of the largest packaging facilities in the country.
🧭 Key Highlights of Intel’s Odisha Semiconductor Project
| Project Component | Details | Strategic Impact |
|---|---|---|
| Facility Name | 3D Glass Solutions Semiconductor Packaging Plant | First Intel-backed chip packaging unit in India |
| Location | InfoValley, Bhubaneswar, Odisha | Emerging tech hub in eastern India |
| Investment | ₹1,943 crore | High-value infrastructure |
| Production Capacity | 5 crore units annually | Boosts domestic chip supply |
| Groundbreaking Timeline | Expected in next 2–3 months | Intel CEO Lip-Bu Tan to attend |
| Commercial Production Start | Targeted by late 2027 | Strengthens India’s semiconductor ecosystem |
This development marks a significant milestone in India’s semiconductor journey, aligning with the government’s vision to make the country a global hub for electronics manufacturing.
🔍 Strategic Importance of Intel’s Participation
Intel’s involvement in the Odisha project is symbolic and strategic. While the company is not setting up a fabrication unit, its backing of the packaging facility signals confidence in India’s semiconductor roadmap. The project complements India’s broader efforts under the Semicon India initiative, which aims to attract global players to invest in chip design, manufacturing, and packaging.
| Intel’s Role | Nature of Involvement | Long-Term Implication |
|---|---|---|
| Technology Partner | Backing 3DGS through Heterogeneous Integration | Enhances credibility and global interest |
| Strategic Alignment | Supports India’s packaging and testing ecosystem | Reduces reliance on overseas facilities |
| Talent Development | Indirect support for skill-building initiatives | Strengthens local engineering capabilities |
Intel’s CEO Lip-Bu Tan is expected to finalize the visit date soon, with the ceremony likely to take place within the next quarter.
📉 Parallel Semiconductor Developments in Odisha
Alongside the 3DGS facility, Odisha is also witnessing the development of a silicon carbide (SiC) compound semiconductor fab by SicSem Private Ltd, in collaboration with UK-based Clas-SiC Wafer Fab. The ₹618 crore project is expected to begin commercial production by March 2026.
| Project Name | Technology Focus | Investment (₹ crore) | Production Start |
|---|---|---|---|
| SicSem Compound Fab | Silicon Carbide (SiC) | ₹618 | March 2026 |
| 3DGS Packaging Facility | 3D Glass Semiconductor Units | ₹1,943 | Late 2027 |
These parallel developments position Odisha as a rising semiconductor hub, with a focus on both compound semiconductors and advanced packaging.
🔥 Odisha’s Semiconductor Policy and Incentives
To attract global players, the Odisha government has rolled out a revised semiconductor policy offering incentives equal to 50% of the central government’s package. The policy also includes talent development schemes, such as ₹10,000 grants for engineering students who choose semiconductor-related subjects and support for student-led chip design projects.
| Incentive Type | Description | Beneficiary Segment |
|---|---|---|
| Capital Subsidy | 50% of central incentive | Semiconductor investors |
| Talent Grants | ₹10,000 for engineering students | Future chip designers |
| R&D Support | Funding for student-led chip projects | Academic institutions |
| Infrastructure Facilitation | Plug-and-play facilities in InfoValley | Semiconductor startups and MSMEs |
Odisha’s proactive policy framework is designed to create a full-stack ecosystem—from education and R&D to manufacturing and packaging.
🧠 Expert Commentary and Industry Sentiment
| Expert Name | Role | Comment |
|---|---|---|
| Meera Iyer | Semiconductor Policy Analyst | “Intel’s involvement is a vote of confidence in India’s packaging capabilities.” |
| Rajiv Bansal | Electronics Manufacturing Consultant | “Odisha’s dual-track strategy—compound fabs and packaging—will attract diverse players.” |
| Dr. Rakesh Sinha | Technology Strategist | “Talent incentives and infrastructure readiness make Odisha a compelling destination.” |
Industry leaders believe that Intel’s participation will catalyze further investments and partnerships in India’s semiconductor ecosystem.
📦 Projected Impact on India’s Semiconductor Landscape
- Domestic Supply Chain Strengthening: Reduces dependence on overseas packaging units.
- Job Creation: Thousands of direct and indirect jobs expected in Bhubaneswar.
- Export Potential: India could emerge as a global supplier of packaged chips.
- Technology Transfer: Collaboration with global firms will accelerate skill development.
| Impact Area | Expected Outcome | Timeline |
|---|---|---|
| Employment | 5,000+ jobs across engineering and operations | By 2027 |
| Skill Development | Semiconductor curriculum in colleges | Starting 2025–26 |
| Export Revenue | ₹3,000 crore annually from packaged chips | By 2028 |
| Ecosystem Expansion | MSMEs and startups in chip design | Ongoing |
Intel’s presence is expected to attract additional Tier-1 suppliers and ecosystem partners to Odisha.
📌 Conclusion
Intel CEO Lip-Bu Tan’s upcoming visit to Odisha for the groundbreaking of the 3D Glass Solutions semiconductor packaging plant marks a pivotal moment in India’s tech manufacturing journey. With chip production slated to begin in two years, the ₹1,943 crore facility will not only strengthen India’s domestic supply chain but also elevate Odisha’s status as a semiconductor hub. Backed by robust policy incentives, global partnerships, and a skilled talent pipeline, India is poised to become a key player in the global semiconductor value chain.
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Disclaimer: This article is based on publicly available government statements and media reports as of September 4, 2025. It is intended for informational purposes only and does not constitute financial, investment, or strategic advice.
