Karnataka has emerged as a significant player in India's semiconductor ambitions, with a potential investment pipeline of over Rs 15,000 crore. This development follows discussions between the state government and over 20 companies at SEMICON India 2026 in Delhi.
Two major announcements have been made by US‑based semiconductor equipment makers Lam Research and Applied Materials. Together, they plan to invest Rs 12,898 crore in Karnataka, bolstering the state's semiconductor ecosystem.
- **Lam Research**: Plans to invest Rs 9,298 crore to set up its first silicon‑component manufacturing facility in India at the Adinarayanahosahalli industrial area in Doddaballapura taluk. The project, which has been allotted 73 acres, is expected to create over 1,000 direct high‑tech jobs. The facility will manufacture silicon components for the semiconductor equipment industry, adding advanced semiconductor materials and component manufacturing capabilities to Karnataka's existing chip design, engineering, and research ecosystem. The foundation stone for the project will be laid shortly, with operations expected to begin within one‑and‑a‑half years.
- **Applied Materials**: Will invest Rs 3,600 crore in Bengaluru over the next 10 years. The company has been allotted 140 acres at Bengaluru Signature Business Park for the project, which is part of its broader $5 billion India investment vision through 2035. The proposed development will include research and development, advanced engineering and manufacturing of semiconductor equipment, along with related services and software. This project is expected to create over 1,000 jobs in its initial phase and generate opportunities for suppliers, engineering companies, technology partners, and research institutions.
These investments are significant for Karnataka as they are expected to strengthen the state's presence across semiconductor equipment, materials, manufacturing, engineering, and R&D. The projects will not only create high‑tech jobs but also provide opportunities for local suppliers and precision‑engineering companies to participate in the semiconductor supply chain.
The Karnataka government plans to continue discussions with companies to convert the emerging investment pipeline into concrete projects. The state aims to expand its semiconductor footprint beyond research and development into higher‑value manufacturing and supply‑chain activities.