Design Linked Incentive Scheme Strengthens Domestic Semiconductor Ecosystem: Meity

(MENAFN- KNN India) New Delhi, Jan 5 (KNN) Projects supported under the Design Linked Incentive (DLI) scheme are scaling up rapidly, with 16 chip design tape-outs completed and 10 patents filed besides leveraging private investment over three times.

A government release on progress made so far under DLI said the scheme has enabled high-value growth by translating deep tech innovation into globally competitive products.

The scheme is being implemented by the Ministry of Electronics and Information Technology (MeitY) under the Semicon India Programme to build a self-reliant and globally competitive chip design ecosystem.

Focus on Strategic and Emerging Sectors

As many as 24 DLI-supported chip design projects are targeting strategic sectors such as video surveillance, drone detection, energy metering, microprocessors, satellite communications, and Internet of Things (IoT) systems-on-chip (SoCs).

These projects align with India's broader push to strengthen domestic capabilities in critical digital and industrial technologies, the ministry updated on PIB.

Rising Global Demand and Supply Chain Vulnerabilities

India is pushing its semiconductor as global chip demand surges with digitalisation and automation, with semiconductors seen as critical enablers across sectors.

However, semiconductor manufacturing is concentrated in a few regions, leaving global supply chains vulnerable to disruptions. This has highlighted the need to diversify production.

Role of the Design Linked Incentive Scheme

It offers financial incentives and access to design infrastructure for domestic startups and MSMEs, while other Indian companies can receive incentives for deploying semiconductor designs.

The scheme supports the entire semiconductor design lifecycle, from development to deployment, covering Integrated Circuits, chipsets, SoCs, systems and IP cores.

By promoting indigenous content and Intellectual Property, it aims to cut import dependence, strengthen supply chain resilience and boost domestic value addition.

Since its launch, the DLI scheme has strengthened India's semiconductor design ecosystem by providing incentives, advanced design tools and prototyping support, enabling companies, startups and academia to move from concept to silicon.

These initiatives have yielded tangible results. 10 patents filed, 16 chip designs taped out, six semiconductor chips fabricated, and over 1,000 specialised engineers trained or engaged, helping build a skilled domestic semiconductor workforce.

Semicon India Programme and Implementation Framework

India's semiconductor mission, with a Rs 76,000 crore outlay, promotes investments in chip and display manufacturing as well as design. The DLI scheme functions within this framework, providing end-to-end support for design, fabrication, and productisation.

The Centre for Development of Advanced Computing (C-DAC), a premier research and development organisation under MeitY, serves as the nodal agency responsible for implementing the DLI scheme.

(KNN Bureau)

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