India: A Fab-Less Wonder: Case of SMDP

8 Pages Posted: 2 Oct 2012

See all articles by A. S. Rao

A. S. Rao

Indian Innovators Association

Date Written: October 2, 2012


From IPod to I Pad, millions of electronics goods have rolled out of China, the global manufacturing hub. India’s share of global electronic product market is less than 3%. Taiwan had $72 billion of investment in Fabs, where as India stands out as one the aspiring nation with no Fab. Yet, top 25 global semiconductor companies now have a presence in India through their captive centers, working in cutting edge technology nodes. Among the top twenty U.S. semiconductor companies, only two have not established a design center in India. While, Government of India is not successful in attracting manufacturing, appear to have made a significant contribution by focusing on talent supply. Department of Information Technology (DIT) implemented Special Manpower Development Programme in the area of VLSI design and related software (SMDP) and trained over 20,000 engineers. This paper is about SMDP as case study and is based on Impact Assessment of SMDP-II assigned by DIT on IIMA.

Keywords: chip design, fab less design, semiconductor capability, India, manpower development, skilled manpower for VLSI design, MNC semiconductor design center, SMDP, DIT, National Technological Competence, fabless IC manufacture, chip fab units

JEL Classification: D24, F13, F23, H43, H52, I21, J24, L23, L52, L63, N35, O19, O38

Suggested Citation

Subbarao, Aynampudi, India: A Fab-Less Wonder: Case of SMDP (October 2, 2012). Available at SSRN: or

Aynampudi Subbarao (Contact Author)

Indian Innovators Association ( email )

New Delhi


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