Indian Semiconductor Startups Enter Commercial Production: A New Era for ‘Make in India’ Chips

After years of research, prototyping, and government-backed incentives, India’s semiconductor ecosystem has reached a long-awaited inflection point. Startups like Mindgrove Technologies, Netrasemi, and Agnit Semiconductors are transitioning from laboratory prototypes to commercial manufacturing, marking a pivotal shift in the country’s journey toward self-reliance in chip production .
📈 The Milestone: From Prototypes to Production Lines
For the first time, Indian fabless semiconductor startups are not just designing chips—they are preparing them for real-world deployment.
| Startup | Chip / Focus | Production Status | Key Application |
|---|---|---|---|
| Mindgrove Technologies | Secure IoT MCU (RISC-V) | Commercial launch imminent (2026) | Biometrics, smart meters, industrial IoT |
| Netrasemi | A2000 Edge AI SoC (12nm) | Mass production by end of 2026 | Surveillance, robotics, smart cameras |
| Agnit Semiconductors | Gallium Nitride (GaN) chips | Pilots running; volume by 2027 | Defence, radar, telecom infrastructure |
🧠 Mindgrove: India’s First Commercial-Grade RISC-V Chip
Chennai-based Mindgrove Technologies, incubated at IIT Madras, is on the “cusp” of commercially launching its Secure IoT chip. Built on the open-source RISC-V architecture, the chip is designed to lower device costs by nearly 30% compared to imported alternatives .
“We are right on the cusp of actually having it commercially available for everybody to buy.” – Shashwath T R, CEO, Mindgrove Technologies
The chip targets high-volume applications such as:
- Secure biometric systems (telecom onboarding & identity authentication)
- Smart meters & Industrial IoT (IIoT)
- EV battery management systems
Partnership: Mindgrove has signed a two-year commercial deal with Pune-based Pinetics to create an indigenous “system on module” stack, offering Indian OEMs an alternative to imported semiconductor modules .
⚡ Netrasemi: The 12nm AI Powerhouse
Kerala-based Netrasemi has successfully completed the “silicon bring-up” of its flagship A2000 AI chip, a high-end 12-nanometre system-on-chip (SoC). This critical milestone validates that the chip functions as intended, clearing the path for commercial manufacturing .
“Our SoCs go beyond conventional AI/ML integration… We are currently working with several leading OEMs to facilitate early sample evaluations, co-development, and advanced R&D initiatives.” – Jyothis Indirabhai, CEO, Netrasemi
The A2000 is built for Edge AI—running AI models locally on devices without needing the cloud—making it ideal for surveillance, robotics, and industrial automation.
Future Pipeline: Netrasemi is already developing an advanced edge AI server chip (A4000), expected to be fabrication-ready by Q2 2027 .
🛡️ Agnit Semiconductors: Powering India’s Defence
Bengaluru-based Agnit Semiconductors specializes in Gallium Nitride (GaN) chips, which handle higher power levels and operate more efficiently than traditional silicon—critical for defence and telecom. The company currently has three pilots running, with expectations to ramp up to 5,000-10,000 chips for defence platforms in the next six to nine months .
“We see at least two of them (pilots) ramping up into volume production over the next six to nine months.” – Hareesh Chandrasekar, Founder, Agnit Semiconductors
🏗️ The Backbone: Government Push and Industry Demand
India’s semiconductor market, valued at over $60 billion in 2025, is projected to reach nearly $180 billion by 2034 . This explosive growth is fueled by strategic government initiatives:
- Design Linked Incentive (DLI) Scheme: Supports domestic chip design (supported Mindgrove and Netrasemi).
- India Semiconductor Mission (ISM): Driving end-to-end ecosystem development.
- Production Linked Incentive (PLI): Encouraging chip manufacturing.
However, a recent NITI Aayog report warns that the window to act is narrowing. While India accounts for 20% of the global semiconductor design workforce, it still imports 90-95% of its chips, costing nearly $150 billion between FY17-FY25 .
“Chips have become increasingly important to national security and defence programmes… A domestic source is well positioned to safeguard the autonomy of our defence programmes.” – NITI Aayog Report
⚠️ The Looming Challenge: Supply Chain Disruptions
Despite the positive momentum, scaling remains a hurdle. Global supply chain pressures—particularly from China—are impacting delivery timelines .
- Dependency on Foundries: Netrasemi is currently manufacturing its A2000 at TSMC (Taiwan) to ensure quality, though it is exploring future options within India .
- Raw Material Sourcing: Access to specialized materials for Gallium Nitride and advanced packaging remains concentrated in a few geographies.
For India to truly become a semiconductor powerhouse, building resilience in the back-end supply chain (substrates, epiwafers, specialty chemicals) is as critical as designing the chips themselves.
🔮 The Road Ahead
With the first lot of Indian-designed chips hitting the market, the narrative is shifting from “import dependency” to “design and make in India.”
- Mindgrove is already developing its next-generation “Vision” chip for CCTV and dashcams .
- Netrasemi aims for volume production of the A2000 by 2027 .
- Agnit is targeting large-scale telecom and power electronics applications.
As these startups move into customer pilot programs and large-scale production, they are not just building chips—they are building the scaffolding for India’s technological sovereignty in the AI-driven era.
For more updates on India’s semiconductor ecosystem, startup funding, and deep-tech innovation, keep it locked on StartupPoint.in.
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