India’s chip-and-AI push gathers pace, with fabs, deep-tech R&D and ecosystem building in focus: KPMG at WEF 2026
A KPMG note tied to WEF 2026 says India is moving from policy intent to execution on semiconductors via fab approvals, deep-tech R&D funding and broader ecosystem work spanning inputs, packaging and talent.
From ambition to execution in semiconductors
A KPMG India press note published in January 2026 says India’s semiconductor and AI momentum is increasingly being framed as an execution-led push, driven by a mix of fabrication capacity approvals, ecosystem development and public funding for research.
The note highlights that India has approved multiple semiconductor fabrication plants (fabs) and describes this as a shift toward capacity-building, alongside investments aimed at strengthening domestic capabilities in critical technologies.
Deep-tech R&D and talent pipeline
According to the KPMG statement, government-backed support for deep-tech research and development is positioned as a key lever for accelerating advanced technology outcomes, alongside deliberate efforts to expand the talent pool needed for design, manufacturing and advanced packaging.
The broader message is that semiconductors are not just a manufacturing project but a multi-layered capability build, requiring design expertise, supply-chain resilience and sustained skill development to support long-term competitiveness.
Ecosystem build: inputs, testing and packaging
The note also points to upstream inputs such as chemicals, minerals and gases, and how India’s domestic base in these areas could help reinforce reliability and integration across the value chain.
In addition, the statement references the need for supporting infrastructure beyond fabs—such as testing and advanced packaging—since these components are necessary to translate fabrication capacity into deployable chips for real-world applications.
Why AI is driving urgency
KPMG’s framing links semiconductor scale-up to AI-era demand for advanced computing and secure communications. The note suggests that global partnerships and domestic programmes are being used to accelerate timelines, with a longer-term goal of making India one of the leading semiconductor hubs by 2030.
In practical terms, the push matters because semiconductors underpin everything from telecom and consumer devices to industrial automation and defence electronics—areas where supply certainty and cost competitiveness are becoming strategic priorities.