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Tata and Intel Sign MoU to Explore Chip Manufacturing and AI PC Push in India

The tie-up positions Intel as a prospective customer for Tata’s upcoming fab and OSAT plants, with detailed commercial and production commitments still to come.

Overview

  • Signed on December 8, 2025, the memorandum outlines an exploratory plan to assess manufacturing and packaging of Intel products at Tata Electronics’ new sites in Gujarat and Assam.
  • The collaboration includes evaluating advanced chip-packaging capabilities in India to help build a more resilient domestic electronics supply chain.
  • The partners will study how to scale AI-enabled PCs for Indian consumers and enterprises by pairing Intel’s AI compute reference designs with Tata’s EMS capabilities.
  • Tata’s Assam OSAT facility is slated to begin operations in the second quarter of 2026, while the Gujarat fabrication plant is expected to start chip production in 2027.
  • Tata is investing about $14 billion across the two facilities, and the companies have not disclosed financial terms or definitive production volumes for the MoU.