LG, Samsung Bet Big On India For Next-Gen Semiconductor Chip Innovation

South Korean tech giants LG Electronics and Samsung Electronics are increasingly turning to Indian engineering talent to drive innovation in semiconductor design and high-tech R&D. This comes at a time when the Indian government is doubling down on semiconductor manufacturing and looks to be the next chip-making powerhouse.

LG Electronics CEO William Cho highlighted India’s evolving role. He told ET, "India is no longer a country with the best cost competitiveness, but rather a best capability country." This marks a pivotal change in perception, with India now recognised for its deep talent pool in software and R&D, particularly in areas like AI, robotics, and semiconductors. LG aims to leverage India’s dual advantage of cost-effective hardware manufacturing and advanced software expertise to develop next-generation semiconductor technologies and AI-enabled features for its global products. Additionally, India’s expanding network of Free Trade Agreements (FTAs) positions it as a strategic export base for LG’s global supply chain.

Samsung’s Push for Semiconductor Excellence

Samsung Electronics is taking concrete steps to bolster its presence in India, with a focus on its Samsung Semiconductor India Research (SSIR) centre in Bengaluru. According to a report by South Korea’s Maeil Business Newspaper, Samsung is aggressively hiring engineers for its System LSI, memory, and foundry divisions. These roles include system-on-chip (SoC) designers, SSD firmware engineers, memory design engineers, and graphics driver developers, all tasked with advancing AI and high-performance computing (HPC) technologies. The appointment of Rajesh Krishnan, an Indian veteran in the memory space, as head of SSIR reflects Samsung’s commitment to building a locally led R&D model, positioning SSIR as a global design powerhouse.

India’s Semiconductor Moment

The Indian semiconductor market is projected to reach $100 billion by 2030, fueled by domestic demand and investments from global players like Micron Technology.

India’s rise as a semiconductor design hub is driven by its robust engineering education system, a thriving IT services industry, and a large English-speaking talent pool. Government initiatives like Semicon India and the Design Linked Incentive (DLI) scheme are further strengthening this ecosystem by fostering domestic intellectual property and providing subsidies for chip design. Additionally, the Chips to Startups (C2S) initiative has equipped over 100 academic institutions with electronic design automation (EDA) tools from companies like Siemens EDA, Synopsys, and Cadence, ensuring that graduates are industry-ready.

At Semicon India 2025 last month, PM Modi unveiled 'Vikram 3201', the country’s first fully indigenous 32-bit microprocessor designed specifically for space applications. This chip is developed by the Indian Space Research Organisation (ISRO), and it marks a major milestone in India's efforts towards self-reliance in advanced technology, particularly in the domain of semiconductors and microprocessor manufacturing.

Published on: Thursday, October 16, 2025, 09:37 AM IST