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"Challenges and Strategies for Establishing a Semiconductor Fab in India"

Semiconductor fabrication, or fab, is a crucial endeavor for India considering the growing market and strategic reasons. India's dependence on semiconductor imports makes it vulnerable to coercion, highlighting the need to establish a fab. The government's 2022 Semiconductor Mission is commendable, but uncertainty remains regarding India's ability to successfully establish a fab. Previous attempts faced challenges, with the 2007 Special Incentive Package yielding no response and the 2012 Modified SIP showing more promise but ultimately failing to mobilize resources. The semiconductor industry is characterized by rapid technological advancements and increasing complexity and costs. China, despite starting late, rapidly developed its fab industry through substantial government support and the acquisition of loss-making fabs worldwide. China's chip production grew significantly, and it gained a strategic advantage i