Government Notifies Rs 1.27 Lakh Crore Semicon 2.0 Scheme Contours

31 Aug 2026, 1:53 pm · 12d ago · 1 min read · YourStory

The Indian government has officially notified the Rs 1,27,500 crore Semicon 2.0 scheme, establishing eligibility norms and incentive structures to expand domestic semiconductor capabilities. The comprehensive programme aims to build an end-to-end chip ecosystem covering commercial fab facilities, indigenous design, intellectual property, packaging, materials, and specialized talent development. IT Secretary S Krishnan confirmed that chip design startups will be supported through grants and equity co-investments, while larger enterprises will access royalty financing. The scheme is designed to enhance India's technological self-reliance and capitalize on soaring global demand for artificial intelligence and memory semiconductors.