Amaravati: The AP semiconductor project has officially been approved, marking a significant milestone for the state.
In a Union Cabinet meeting chaired by Prime Minister Narendra Modi on Tuesday, Andhra Pradesh was allocated a semiconductor manufacturing unit, a decision that came even without a formal request from Chief Minister Chandrababu Naidu.
Semiconductors play a crucial role in sectors like defense, electronics, telecommunications, automotive, data centers, consumer goods, and industrial electronics.
Until now, India has largely depended on imports, but the Modi government aims to boost domestic production and place the country among the world’s top producers by 2030.
This AP unit is one of four new semiconductor projects, with others in Odisha and Punjab.
The Centre will invest ₹4,594 crore in the Andhra Pradesh project, which is expected to generate employment for around 2,000 people.
The plant will operate under a central public sector undertaking, offering jobs to technical graduates, especially those with BE degrees.
Minister Nara Lokesh expressed happiness over the allocation, calling it a testament to the “double-engine government” and proof of Andhra Pradesh’s good governance.
Experts believe the project will position AP as a key technology hub, attracting further investment and making the state a more appealing destination for global tech players.