The Odisha government has signed a memorandum of understanding (MoU) with Intel and 3D Glass Solutions (3DGS) to introduce substrate manufacturing technology in India, Union Minister for Electronics and Information Technology Ashwini Vaishnaw confirmed on Friday, 29 May. The pact marks a significant step in deepening India's domestic semiconductor supply chain.

What the MoU Covers

The agreement is aimed at establishing semiconductor substrate manufacturing capabilities within India, a critical link in the chip production value chain that the country has so far largely imported. Vaishnaw welcomed the development on social media platform X, stating: 'Congratulations to the Govt. of Odisha, Intel and 3DGS on signing an MoU to bring substrate manufacturing technology to India. This will further advance semiconductor ecosystem in India.'

Odisha's Growing Semiconductor Footprint

The MoU builds on a series of semiconductor investments Odisha has attracted in recent months. In April, the foundation stone was laid for India's first advanced 3D chip packaging unit at Info Valley in Bhubaneswar, under the Heterogeneous Integration Packaging Solutions project promoted by 3DGS. That project carries an investment of nearly ₹2,000 crore and is expected to produce around 70,000 glass panels annually, along with 50 million assembled units and nearly 13,000 advanced 3D heterogeneous integration (3DHI) modules, according to the government.

Chief Minister Mohan Charan Majhi had noted at the time that Odisha is the only state in the country where both India's first compound semiconductor fabrication unit and first 3D glass substrate packaging facility are being established — a distinction that positions the state as a national anchor for advanced chip manufacturing.

Centre's Semicon India Push

The development comes as the Centre accelerates its efforts to build a self-reliant semiconductor ecosystem under the Semicon India Programme. Earlier this week, the government disclosed that 12 fab or packaging projects and 24 semiconductor design projects have already been approved under the programme. The Centre has also launched an online Investor Support Portal to boost investor confidence and address industry concerns. Vaishnaw had previously stated that under Prime Minister Narendra Modi's leadership, India's semiconductor sector is witnessing rapid growth, with Odisha emerging as a key contributor to the country's chip ambitions.

Why This Matters

Substrate manufacturing is a foundational layer of semiconductor packaging — without domestic capacity, India's chip assembly ambitions remain dependent on foreign supply chains. The Intel and 3DGS partnership signals that global technology majors are willing to transfer advanced manufacturing know-how to India, not just set up assembly lines. This comes amid a global race among nations to onshore semiconductor production following supply chain disruptions that exposed critical dependencies during the pandemic years.