Tamil Nadu contributed nearly $20 billion to India's electronics export value in FY26, highlighting its growing role in the country's manufacturing sector.
The state accounted for around 40% of India's total electronics exports, according to Singai G Ramachandran, CEO of the Tamil Nadu Startup and Innovation Mission (TANSIM).
Speaking at the launch of US-based Vultr's 20-megawatt (MW) AI supercluster in Chennai on Monday, Ramachandran said Tamil Nadu had strengthened its position as a global electronics manufacturing hub.
He added that the state's contribution to electronics exports had nearly doubled over the past two years. Tamil Nadu's manufacturing capabilities have also gained global recognition.
"Almost out of $10 (in exports), $4 is being contributed by Tamil Nadu, and it has almost doubled in the last two years," Ramachandran said. The state has emerged as a major destination for electronics manufacturing, hosting leading electronics manufacturing services (EMS) companies and component makers.
Tamil Nadu's manufacturing ecosystem benefits from integrated supply chains and proximity to Bengaluru's technology ecosystem. It also houses all iPhone contract manufacturers operating in India. Ramachandran highlighted the growing importance of artificial intelligence (AI) and software in supporting the development of electronic products.
"Presently, I think AI and software to power all these electronic products that are built are very vital," he said.
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The state's electronics manufacturing ecosystem is supported by several factors:
The remarks came during the launch of Vultr's 20 MW AI supercluster in Chennai, developed using Advanced Micro Devices' (AMD) computing technology.
The facility will feature more than 10,000 AMD Instinct MI335X graphics processing units (GPUs), alongside AMD EPYC central processing units (CPUs). It is designed to support large-scale AI training and inference workloads in the domestic market.
The Chennai facility is Vultr's second-largest supercomputing cluster globally, following its largest facility in the United States.
At the event, Vultr's India unit also signed a memorandum of understanding (MoU) with StartupTN to support startups across Tamil Nadu through cloud computing credits and preferential pricing.
Under the initiative:
Ramachandran also highlighted the growing role of Tamil Nadu-based startups in addressing real-world challenges. He said entrepreneurs from the state were developing solutions across different sectors, including defense, with applications extending beyond Tamil Nadu.
The combination of electronics manufacturing, AI infrastructure and startup development is strengthening Tamil Nadu's position in India's technology ecosystem.
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