Prime Minister Narendra Modi on Saturday inaugurated Micron Technology’s semiconductor assembly, test, marking and packaging (ATMP) facility in Sanand, Gujarat, marking the commencement of commercial production at one of India’s largest semiconductor manufacturing investments to date.

Describing the event as a “milestone in India’s journey towards technology leadership,” the Prime Minister said the country, long known for software and IT services, is now firmly establishing its identity in hardware manufacturing as well.

“This century belongs to the AI revolution,” PM Modi said. “If oil was the regulator of the last century, microchips will be the regulator of this century.”

From policy to production in record time

The Micron project has moved at an accelerated pace. The memorandum of understanding was signed in June 2023, followed by groundbreaking in September 2023. Installation of machines at the pilot facility began in February 2024, culminating in the start of commercial production in February 2026.

PM Modi highlighted the speed of execution as emblematic of “New India,” noting that regulatory processes such as advanced pricing agreements have been cleared in months — compared to three to five years in many developed economies.

“When intent is clear and dedication is towards rapid national development, policies become transparent and decisions gain momentum,” he said.

Investment in memory manufacturing

According to the India electronics and semiconductor association (IESA), Micron’s investment of ₹22,516 crore is among the largest commitments by a global semiconductor major in India.

The Sanand facility will manufacture DRAM, NAND and Solid-State Drive (SSD) products — critical memory components powering AI systems, high-performance computing, smartphones, data centres, automotive electronics and digital infrastructure.

Ashok Chandak, President of IESA, termed the launch “a defining milestone in India’s semiconductor journey.”

“This is not merely the inauguration of a plant — it is the emergence of India as a serious, credible, and fast-emerging player in advanced semiconductor design and manufacturing,” Chandak said in a statement.

Calling the Prime Minister’s remarks a “triple cadence,” Chandak reiterated, “India is ready, India is reliable, and India delivers”.

Memory manufacturing is strategically important, given that only a handful of countries currently possess such capabilities. With AI-driven demand pushing global memory requirements higher, India’s entry into this segment is seen as timely.

Part to broader semiconductor push

The prime minister reiterated that 10 projects have been approved under the Semicon India programme, with additional facilities set to begin production across Uttar Pradesh, Assam, Odisha and Punjab. In the union budget, the government announced India semiconductor mission 2.0 to deepen domestic capabilities across the value chain.

“A semiconductor ecosystem is far more than a factory,” PM Modi said, stressing the need for design engineers, equipment makers, logistics networks, research institutions and skilled technicians working in tandem.

The Micron plant houses one of the world’s largest ATMP cleanrooms and has been designed with sustainability in mind, including measures to minimise water consumption.

India–US tech partnership

PM Modi described the facility as a testament to the growing India–US partnership in AI and chip technology. He referenced efforts to secure critical mineral supply chains, including cooperation frameworks aimed at strengthening semiconductor resilience.

Gujarat, he said, is emerging as a western semiconductor cluster, with Sanand and Dholera positioned as key hubs supported by streamlined approvals, land allotments and utilities infrastructure.

Jobs, ecosystem and export potential

The facility is expected to generate around 5,000 direct jobs and over 15,000 indirect employment opportunities, while catalysing growth in advanced packaging, materials, equipment and fabless design.

Chandak added that the plant, alongside Micron’s existing design centres in India and upcoming OSAT facilities, will deepen India’s design-led manufacturing base and boost export potential.