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uttampal19
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Rookie
Re: Huge risks
uttampal19   11/25/2013 12:09:59 AM
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Nice article. It would be great to have a semiconductor fab in India, which would take around 5 years to solidify.

In the same lines, it's worthwhile to mention about a startup in India, establishing india's first nano semiconductor fab in Gandhinagar named De Core Nano Semiconductors Ltd. It houses crystal growth, processing, fabrication & material characterizing of Gallium Nitride wafers and manufacturing LED's and high power devices. 

speedno1
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Rookie
Re: Huge risks
speedno1   10/11/2013 8:33:28 AM
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Agree .

HVREDDY
User Rank
Rookie
Re: Lessons learned
HVREDDY   9/23/2013 5:25:09 PM
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Cheers for your optimism...Jaypee group running a F1 is a whole lot different than building a fab... It will be quite a few years before anybody makes any kind of profit from a new fab.... The losses the first few years run into 100's of million dollars... Besides that cost of a 65nm fab alone ranges in about $2 - $3 billion dollars and any geometry further down like 40 & 22 etc.. will cost even more.....I am sure infra-structure is fine in a whole lot of areas and there is tremondrous growth in auto and other sectors. For a fab, besides the infra, you need the human capital... You have to have universities training folks in wafer fabrication etc today... Right now, none of that is happenning..... I wish it would happen... But I have my suspicions, that before the May 2014 elections, this government will announce a whole lot of pie in the sky projects.... Their track record has already shown that from before.....Lastly there are doubts about the Jaypee group....

Checkout the latest article of Aug 26, 2013....

http://www.seasonalmagazine.com/2013/08/jaypee-group-can-stake-sales-save-it.html

RGRU
User Rank
Manager
Horrible Idea
RGRU   9/22/2013 7:10:03 AM
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There have been a lot of companies recently that have discovered what a bad idea it is to set up operations in India.  The corruption and disregard for the law, will more than outweight any benefits.  There are so many examples of foreign operators getting extorted by the government in India it is hard to believe they would do this.

http://www.zdnet.com/nokia-says-it-wont-leave-india-despite-tax-dispute-threats-to-move-manufacturing-to-china-7000019886/

 

stippu
User Rank
Blogger
Re: Lessons learned
stippu   9/19/2013 12:34:18 PM
Points well made - lets see how it goes. It would really be sad if this went the SemIndia way. Am sure the fabs were/are meant to ease the situation on imports.. many expert opinions would have been taken. Lets hope for the best

GSMD
User Rank
Manager
Re: Lessons learned
GSMD   9/19/2013 12:22:52 PM
1. fab city in hyd was badly planned and never had financial closure. so bad example 2. Jaypee group will make money, not a big issue. They did successfully host the F1 after building a world class track, so they can execute. I was actually opposed to that effort due to forcible land acquisition and env. reasons but what matters in this case is their mgmt. skills for large project mgmt. 3. both fabs are on the Delhi Mumbai industrial corridor, a 100 billion usd effort that is coming along well. for once we are getting our planning right since issues like water, sewage and power are the first items being figured out. The Gujarat fab will be next to a new city the size of Mumbai being built from scratch. 4. the area where both these fabs are being built have significantly less infra issues. power and roads are ok. st has a 2000 member design team in noida. so does Freescale. Gujarat is the country's largest PCB manufacturing region and Delhi is a major electronics hub. 5. it is annoying hearing about infra issues. jamnagar is the world's largest refinery complex. Chennai is fast heading towards becoming the word's largest auto hub if it reaches its target of close to 2 mill cars. add about 5 plus mill two wheelers projected. You do not reach these nos if. far problems are not being handled. As I said let us wait and watch and see how things turn out. India has standardised on the RiscV ISA and we are going full speed n developing our home grown processors. So the fabs will have lots of business .

GSMD
User Rank
Manager
Re: Lessons learned
GSMD   9/19/2013 12:22:49 PM
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1. fab city in hyd was badly planned and never had financial closure. so bad example 2. Jaypee group will make money, not a big issue. They did successfully host the F1 after building a world class track, so they can execute. I was actually opposed to that effort due to forcible land acquisition and env. reasons but what matters in this case is their mgmt. skills for large project mgmt. 3. both fabs are on the Delhi Mumbai industrial corridor, a 100 billion usd effort that is coming along well. for once we are getting our planning right since issues like water, sewage and power are the first items being figured out. The Gujarat fab will be next to a new city the size of Mumbai being built from scratch. 4. the area where both these fabs are being built have significantly less infra issues. power and roads are ok. st has a 2000 member design team in noida. so does Freescale. Gujarat is the country's largest PCB manufacturing region and Delhi is a major electronics hub. 5. it is annoying hearing about infra issues. jamnagar is the world's largest refinery complex. Chennai is fast heading towards becoming the word's largest auto hub if it reaches its target of close to 2 mill cars. add about 5 plus mill two wheelers projected. You do not reach these nos if. far problems are not being handled. As I said let us wait and watch and see how things turn out. India has standardised on the RiscV ISA and we are going full speed n developing our home grown processors. So the fabs will have lots of business .

stippu
User Rank
Blogger
Re: Lessons learned
stippu   9/19/2013 11:57:01 AM
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Great piece of history there by GSMD.... thanks. Was travelling, so missed out these past two days... but going through the interactions, apart from all the comments, one thing that struck me was the HVReddy's comment  on Jaypee's real estate scenario. Everyone has a private agenda I guess but as long as it doesnt reallly mess up the overall/general "good" I think we should just go along with it. There is corruption in every stage and every step - big or small but if we can wade through it without getting deeply scarred, then things will work out.. I am pretty cynical at the way things work here in India but there are many optimistic guys out here who do try to work their way around huge obstacles.. lets just want and see how it goes

resistion
User Rank
CEO
Just in time for 10 nm in 2015
resistion   9/18/2013 4:42:46 AM
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If the fabs come up in 2015 or even later maybe they could blow away yields with 10 nm process equipment being used to do lagging nodes.

DMcCunney
User Rank
CEO
Re: Made In India
DMcCunney   9/18/2013 3:02:24 AM
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I agree - manufacturing won't be leaving China in volume any time soon.  The stuff where what is made is a fungible commodity with enormous pressure on price, razor thin margins, and "lowest cost producer wins" might go elsewhere, assuming the new location can maintain acceptable levels of quality at high volumes.

But Chinese manufacturing is moving up the value chain, and lots of producers are in areas of the market where higher prices and better margins exist and higher labor costs aren't as significant.  For instance, O'Reilly and Associates is doing a crowd-sourced Maker Map for Shenzen, for folks interested in working with Chinese suppliers on products: https://plus.google.com/107033731246200681024/posts/B9KByP86EmU

And there is still a healthy "Buy Chinese" sentiment in China, so foreign vendors have an uphill battle penetrating the Chinese market against local competition.  (I'm not making any bets on how well Apple's new lower priced iPhones will do on cracking the Chinese market, and whether the Apple brand name will carry the hoped for cachet.

But China is at a turning point.  With their cost advantage dropping, they can no longer count on growth from exports.  They are no looking at internal growth, servicing the needs of the expanding Chinese middle class.

We'll see how they do.  The government is riding the tiger, trying to maintain their tight control as their country and economy changes.  That may not be possible. 

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