Karnataka govt signs MoU with ISMC to set up Rs 22,900 cr semiconductor fabrication plant

Bengaluru (Karnataka) [India], May 1 (ANI): Karnataka government on Sunday signed an MoU with Israel-based ISMC Analog Fab Private Limited for setting up a semiconductor fabrication plant in the state with an investment of Rs 22,900 crore ($3 Billion).
The company will implement the project over a period of the next seven years with employment potential for 1,500 persons, an official statement from the State Government stated.
Additional Chief Secretary in the department of IT, BT Dr EV Ramana Reddy on part of Karnataka and Director of ISMC Ajay Jalan signed the MoU in the presence of Chief Minister Basavaraj Bommai.
Bommai, in his address after signing the MoU, said, "Karnataka is already a pioneer in the IT, BT and R&D sectors and this MoU with ISMC would make the State a place to look forward to in semiconductor technology".
"Karnataka has signed this major MoU when many other states are competing to draw investments in the Semiconductor Fab sector. Karnataka government understands that it is not just the concessions or incentives, it is the conducive ecosystem that is needed to draw the investors. The State has the best infrastructure and skilled human resources," the Chief Minister said.
It is a major stride in the semiconductor sector. There are challenges ahead. The MoU would drive us to turn those challenges into opportunities, he added.
Welcoming the deal, the Chief Minister said, "This MoU is a significant agreement amid the competition among various states to attract semiconductor fabs. Karnataka understands that it's not just the fiscal incentives that matter but availability of conducive eco-system and overall ease in operations are also important."
Lauding the leadership of Prime Minister Narendra Modi, Bommai said that the Union Government has launched the Semiconductor Mission and it has spurred Karnataka to lead the march in this sector.
The MoU has provided a forum for technology and cultural exchange between Israel and India, Bommai added and requested ISMC not just to set up the plant here, but bring the latest developments in the technology as it evolves with time to this plant in Karnataka.
Minister for Higher Education, IT, BT CN Ashwathnarayan and senior officials were also present on the occasion. (ANI)