Tata and Intel Join Forces to Build Chip and AI PC Ecosystem in India

Intel has teamed up with the Tata Group to build and assemble semiconductors in India, marking a major push to strengthen the country’s position in the global chip industry.

The partnership focuses on serving the local market while scaling tailored AI PC solutions for both consumers and enterprises—an area expected to place India among the world’s top five markets by 2030.

Under this new agreement, the two companies will explore manufacturing and packaging of Intel products at Tata Electronics’ upcoming facilities. These include a large chip fabrication plant coming up in Dholera, Gujarat, and a semiconductor assembly and packaging plant in Assam. Together, the facilities represent an investment of ₹1.18 lakh crore, signaling one of India’s most significant semiconductor commitments to date.

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Both companies also plan to work closely on advanced packaging in India, combining Intel’s AI compute reference designs with Tata Electronics’ growing Electronics Manufacturing Services capabilities. With Tata Group’s broad reach across multiple sectors, the partnership gains a strong distribution and market advantage.

"This MoU aligns with Tata Electronics' roadmap across EMS, OSAT, and semiconductor fab, enabling a reliable and resilient supply chain for our customers," said Randhir Thakur, CEO and MD of Tata Electronics.

"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," said Intel CEO Lip-Bu Tan.

Tata Sons Chairman N Chandrasekaran said, "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."