ANI
12 Apr 2025, 13:42 GMT+10
New Delhi [India], April 12 (ANI): The Indian semiconductor industry's end-demand revenues will double from 2025 to 2030, growing from USD 54 billion to USD 108 billion, according to a report by financial services firm UBS.
The report further anticipates that the revenue from the localization opportunities will stay around 13 billion in revenues by 2030.
'We expect its semiconductor end-demand revenues to double from 2025 to 2030, growing from USD 54 billion to USD 108 billion. So we see strong growth ahead for the market, including a localization opportunity where we anticipate USD 13 billion in revenues in 2030,' the report added.
The report further added that India's semiconductor end market to grow by 15 percent Compound annual growth rate (CAGR) from 2025 to 2030, with annual revenues reaching USD 108 billion in 2030.
UBS said that this 15 percent CAGR estimate is faster than our forecast for the global semiconductor end market thanks to India's favorable demographics fueling strong electronics demand (and in turn semiconductors), rising enterprise adoption of advanced semiconductors, and favorable government policies.
India accounts for only 0.1 percent of global wafer capacity, around 1 percent of annual equipment spending, and a 6.5 percent semiconductor end-demand share, as per the report.
The UBS added that major tech companies are evaluating relocation of their supply chains amid the ongoing tariff uncertainties.
'A few companies have already embarked on their 'China plus one' strategy by diversifying their final assembly locations beyond China,' the report added.
India's tech advantage lies mostly in its vast talent pool in the software and services industry, whereas mainland China's dominance is in tech manufacturing.
In semiconductors, too, India has a unique advantage, with around 20 percent of global chip designers working in the country for multinational corporations.
Despite these uncertainties, the US and mainland China are the top end-markets. India, at 6.5 percent, is a solid end market for global semiconductors, with USD 54 billion in revenues in 2025. (ANI)
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