Centre begins process to modernise Mohali SCL

                The Semiconductor Lab (SCL) at Mohali, the only government-owned semiconductor fabrication unit, will be one of the beneficiaries of the Central Government’s $10 billion 
semiconductor incentive package.

The government plans to modernise and upgrade it for making semiconductors, which are used in display panels of smartphones, laptops, TV screens, weapon systems and 
automobiles. For the modernisation plan, the Ministry of Electronics and Information Technology (MeitY) has floated a request for proposal (RFP). The SCL was handed over to MeitY 
in February this year from the Department of Space.

The SCL started production in 1984 but was devastated by a mysterious fire in 1989 and thereafter never recovered fully. It produces chips for strategic purposes. For instance, a 180-
nanometre chip, along with other chips researched and fabricated at the SCL, have been used to power the country’s Mars Mission.

According to the RFP, the selected bidder will act as an adviser and also be responsible for identification of business partner for modernisation and commercialisation of the SCL. As 
per the terms of the RFP, the bidders shall strategise the execution roadmap. Besides, the bidders also need onboard a commercial partner for the fabrication of chips developed by 
the SCL.

“The bidders will also be responsible for development of business plan, go-to-market strategy and design of operating model, including identification and assessment of top list of 
potential partners (both Indian and global) across the semiconductor value chain,” said sources.

“The SCL is responsible for design and development of very-large-scale integration (VLSI) devices and development of systems for the telecommunication and space sectors. The 
government is modernising the existing SCL as part of the effort to set up a latest manufacturing facility for making semiconductors,” said Rajya Sabha member Vikramjit Singh.

On December 15, 2021, the Union Cabinet accorded approval for the modernisation and commercialisation of the SCL, which includes exploration of the possibility for a joint venture 
(JV) with a commercial fabrication partner(s) to modernise the brownfield fabrication facility.

Semiconductor lab Timeline

1984: SCL starts production

1989: Unit consumed by mysterious fire

1997: Restarted again

2006: Converted to Semiconductor Laboratory under the Department of Space from Semiconductor Complex Ltd

2021: Cabinet accords approval for modernisation

2022: Handed over to MeitY from the Department of Space

Source: The Tribune