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

The non-binding pact positions Intel as a prospective customer for Tata’s planned facilities, advancing India’s push for semiconductor self-reliance.

Overview

  • Under the memorandum, the companies will explore manufacturing and packaging of Intel products at Tata Electronics’ upcoming fabrication plant and OSAT facilities, alongside potential advanced packaging work in India.
  • Tata Electronics is developing a chip fab in Gujarat and an assembly-and-test plant in Assam with reported investment of about $14 billion, with Intel identified as a prospective first major customer.
  • The collaboration includes evaluating how to scale AI-enabled PCs for Indian consumers and enterprises by combining Intel’s AI compute reference designs with Tata’s electronics manufacturing capabilities.
  • Intel CEO Lip‑Bu Tan met Prime Minister Narendra Modi and publicly pledged support for the India Semiconductor Mission, adding visible political backing to the initiative.
  • Media reports cite target operational windows of the Assam OSAT in the second quarter of next year and chip production at the Gujarat fab in 2027, while the companies stress the agreement remains exploratory with no firm production commitments disclosed.