India’s semiconductor odyssey accelerates in 2025, transforming a $45 billion import-dependent sector into a self-reliant powerhouse under the $10 billion India Semiconductor Mission (ISM). Launched in 2021 with ₹76,000 crore outlay, ISM’s Phase 1 has approved ten projects, including Tata’s $10 billion Gujarat fab and Micron’s $2.75 billion OSAT in Sanand, attracting $18 billion in commitments. Design-linked incentives (DLI) scheme, with ₹10 billion corpus, has greenlit 50+ startups, fostering 1 million jobs by 2026. Yet, with 65% imports persisting and global supply chains vulnerable to geopolitics, faltering on IP and integration risks obsolescence. Saankhya Labs and Mindgrove Technologies, raising $100 million under ISM, pioneer 5G SoCs and Secure IoT chips, weaving indigenous designs into global threads. Fabricate the future, or falter in foreign fabs?
ISM’s blueprint—fostering fabs, ATMP, and design hubs—aligns with PLI’s ₹24,000 crore for electronics, targeting 10% global share by 2047. DLI approvals, like Saankhya’s for 5G SoC, provide 50% reimbursements up to ₹15 crore, slashing R&D costs 40%. Tier-2/3 corridors in Uttar Pradesh and Tamil Nadu nurture 300 ventures, but 70% talent pools in metros demand remote models. Challenges: IP theft in China-dominated chains erodes 20% value; supply snarls hike polysilicon 15%. Funding hits $192 million YTD, prioritizing fabless innovation amid Atmanirbhar’s 75% localization mandate.
Saankhya Labs, Bengaluru’s wireless wizard founded in 2007 by Muthukrishnan Chinnasamy and Parag Naik, excels in SDR chipsets for 5G, broadcast, and SATCOM. Acquired by Tejas Networks in 2024 for strategic synergy, it snagged DLI approval in February 2024 for a 5G RAN SoC, unlocking ₹15 crore incentives. Cumulative $27.9 million over nine rounds from 45 investors, including a $10 million+ NSIL order in 2023 for SATCOM transponders, values at undisclosed but positions for IPO. With 73 patents (41 granted), Saankhya’s EFA-4 tuner integrates into DRDO’s Akash missiles and ISRO’s satellites, exporting to 30 countries. Naik’s edge: “SDR is software sovereignty—DLI accelerates Atmanirbhar fabs,” partnering Taiwan’s TSMC for 28nm nodes, averting 30% delays.
Mindgrove Technologies, Chennai’s IoT innovator incubated at IIT Madras since 2021 by Shashwath TR and Sharan Srinivas J, designs power-efficient SoCs for smart devices. Its $8 million Series A in December 2024—co-led by Rocketship.vc and Speciale Invest, with Peak XV and Whiteboard—totaling $10.325 million, plus ₹15 crore DLI for Vision SoC, targets mid-2025 launches. Secure IoT chip, on 28nm RISC-V, powers locks and PoS with AES encryption, cutting costs 70% vs. imports. With 10 patents pending, Mindgrove’s federated learning anonymizes data, serving 50,000 OEMs. TR asserts: “India’s chips for India’s devices—DLI bridges design to fab,” tying with Renesas for global supply, onboarding 100 engineers.
Their $100 million momentum—Saankhya’s acquisitions, Mindgrove’s seeds—eyes 50 GWh capacity, creating 5,000 jobs. IP lessons: PCT filings cover 150 countries—Saankhya’s 73 patents thwart knockoffs; blockchain ledgers trace origins, per IMEC. Global integration: Diversify to Vietnam (15% duties) via PLI rebates; co-own with IITs for 50% faster trials. For SMEs: Vernacular dashboards in 12 languages boost Tier-3 uptake 50%; SHG pilots in Gujarat yield 3x adoption, IREDA bonds at 7% de-risking.
Hurdles harden: 40% procurement delays; biases sideline dialects. Global peers like GlobalFoundries affirm: PPPs yield 70% efficacy.
In 2025, Saankhya and Mindgrove savior the silicon surge. For 1.4 billion, their designs could green $50 billion exports, empowering corridors. Falter? Only if silos stifle synergy. With ISM’s ignition, India’s startups don’t just design—they dominate the digital dawn.
Last Updated on Wednesday, November 12, 2025 11:57 pm by The Entrepreneur Today Desk
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