Tata, Intel sign MoU to explore strategic collaboration for Semiconductor and AI development

According to a Tata Group press release, the move marks a key step towards strengthening India's domestic semiconductor ecosystem and creating a more resilient supply chain for electronics manufacturing.

The two companies have signed a Memorandum of Understanding (MoU) to explore opportunities in consumer and enterprise hardware, including the manufacturing and packaging of Intel products at Tata Electronics' upcoming Fab and Outsourced Semiconductor Assembly and Test (OSAT) facilities.

The proposed partnership also aims to develop advanced packaging capabilities within India, which could serve as an important milestone for the country's growing role in the global semiconductor landscape. Both companies plan to explore opportunities to scale AI-enabled PC solutions for consumers and businesses, tapping into India's fast-growing technology market, expected to be among the world's top five by 2030.

N Chandrasekaran, Chairman of Tata Sons, said the group's commitment to building a strong semiconductor industry in India would be reinforced by this partnership. "The Tata Group is deeply committed to developing a robust semiconductor industry in India. We are excited to collaborate with Intel, and this strategic alliance would accelerate our efforts. Together, we will drive an expanded technology ecosystem and deliver leading semiconductors and systems solutions, positioning us well to capture the large and growing AI opportunity," he said.

Intel's Chief Executive Officer, Lip-Bu Tan, said the collaboration would help both companies meet rising demand for computing and AI solutions. "Intel's technology has driven decades of advancement in computing, and as we continue to innovate, our ambition is to broaden our reach, accelerate growth, and deliver even greater value to our customers. We see this as a tremendous opportunity to collaborate with Tata to rapidly scale in one of the world's fastest-growing compute markets, fuelled by rising PC demand and rapid AI adoption across India," he said.

Randhir Thakur, CEO and Managing Director of Tata Electronics, said the understanding aligns with Tata Electronics' wider roadmap across manufacturing and assembly. "This MoU aligns with Tata Electronics' roadmap across EMS, OSAT, and Semiconductor Fab, enabling a reliable and resilient supply chain for our customers. This collaboration would drive cost competitiveness, faster time-to-market, greater operational agility, and enable Intel products to capture the surging demand for next-generation AI compute in India," he said. (ANI)