If no chip self-reliance, risk of failing in future conflicts: DRDO units

Semiconductors are materials, especially silicon, whose electrical conductivity can be precisely controlled. Engineers use them to make integrated circuits, or chips. These chips contain tiny electronic switches that process, store and transmit information. That makes them essential to computers, artificial intelligence systems, communication networks and military equipment.

A computer chip performs calculations by switching electrical signals on and off. AI systems use large numbers of chips to process data and run algorithms. Communication equipment relies on chips to handle signals, while military systems use them in sensors, guidance, secure communications and other technologies. The article links future conflicts to AI, cyber technologies and space power, all of which depend heavily on advanced electronics.

India produces 20 per cent of global AI data, yet only three per cent of AI data centres are located there. The DRDO experts therefore treat semiconductor capability as both an economic foundation and a national-security requirement. They say India needs control over design, materials, manufacturing and deployment.

Imported chips create a strategic vulnerability because a country may not control the supply of crucial components during a crisis. If suppliers restrict exports, delay deliveries or deny advanced technologies, India could struggle to build, repair or upgrade systems needed for defence and communications. The article says 90 per cent of India’s chip industry depends on imports.

The mechanism is technological dependence. Modern military capability increasingly relies on AI, algorithms, data, cyber technologies and space systems rather than only tanks, territory or infantry. These systems require advanced processors, sensors, communications hardware and other semiconductor products. DRDO’s Anupam Sharma said future wars will be decided by science, industry, algorithms and data.

The experts therefore argue for self-reliance in designing, manufacturing and deploying semiconductors by 2047. They say India could be at severe risk of failing in future conflicts without major research advances. Domestic capability would also provide strategic bargaining power with other countries.

India has important human and data advantages in the semiconductor economy. It produces 20 per cent of the total data used for global AI generation. It also has 20 per cent of the global computer-chip design workforce. These figures show that Indian talent and digital activity already matter internationally.

The striking contrast is domestic capacity. Only three per cent of AI data centres are in India, and 90 per cent of the country’s chip or semiconductor industry depends on imports. India therefore contributes substantially to design and data while relying heavily on other countries for physical chips, materials, equipment or manufacturing capabilities. The article describes this gap as a barrier to technology independence.

DRDO experts say India need not lead every part of the ecosystem by 2047. However, it should lead in selected strategic domains. Their targets include two-nanometer chips, advanced three-dimensional structures and at least two globally top-ten foundries. These capabilities would make India strategically relevant.

The semiconductor supply chain is divided because different stages require different technologies, infrastructure and expertise. The article says no one country possesses the complete end-to-end ecosystem. Countries instead specialise in areas such as design, automation, system architecture, intellectual property, fabrication, wafers, chemicals and equipment.

The United States dominates advanced chip design, automation, system architectures and intellectual property rights. Taiwan and South Korea host major manufacturing foundries. Japan, Europe and the Netherlands provide critical infrastructure for wafers, chemicals and other production needs. China has maturity in node fabrication, which refers to the dimensions used to manufacture semiconductor devices.

This global division explains India’s challenge. Even if it builds factories, it must also secure materials, production tools, design capabilities and advanced know-how. DRDO says India should seek leadership in selected areas rather than attempt to dominate everything by 2047. That focused strength could give it strategic influence.

India’s proposed goal is to become strategically relevant by 2047 through leadership in one of the most advanced parts of chip manufacturing. Dr Anesh Sharma identified two-nanometer chips and three-dimensional structures as priority technologies. The aim is to contribute at least 20 per cent in very high-end, niche technology.

The plan requires at least two foundries ranked among the world’s top ten. A foundry is a specialised facility that manufactures chips designed by companies or research teams. But factories alone are insufficient. India would also need domestic access to the materials and production technologies used to make these advanced devices. Sharma said dependence on imported materials would prevent technology independence.

The goal is difficult because these technologies are denied to India or unavailable from other countries, according to Sharma. The broader mission therefore covers the total ecosystem, not only fabrication. Achieving the target would strengthen India’s defence options, industrial base and bargaining power as a strategic global power.

The DRDO experts accept that India cannot lead every part of the semiconductor ecosystem by 2047. Instead, they want the country to become highly capable in selected domains. Strategic specialisation would give India something valuable to offer other countries, making its partnerships and diplomatic voice stronger.

The article names three futuristic areas for early intellectual-property leadership: quantum computing, photonic integrated circuits and neuromorphic computing. These fields are important because DRDO says India has already begun working in them. Building strong domestic designs, patents and products could help India develop distinctive capabilities even while other countries lead in different parts of the semiconductor chain.

This approach complements, rather than replaces, manufacturing ambitions. India is also targeting two-nanometer chips, three-dimensional structures and two globally top-ten foundries. But leadership in specialised technologies could arrive sooner and provide strategic relevance. It would also support the goal of producing fully Indian products with domestic design control and high quality.

Design turns a required function into a circuit blueprint. Engineers define the chip’s architecture, logic and physical layout using specialised tools. Fabrication then creates that design on a semiconductor wafer through repeated processing steps involving materials, chemicals, equipment and extremely precise manufacturing. Assembly and packaging cut, connect and protect the finished chip so it can work inside a larger product.

These stages need different capabilities. Design depends on engineering talent, automation, system architecture and intellectual property. Fabrication depends on advanced factories, process control, wafers and chemicals. Packaging and assembly require specialised handling and testing. The article’s global examples reflect this division: the United States leads design, Taiwan and South Korea host foundries, and Japan, Europe and the Netherlands provide production infrastructure and materials.

India’s challenge is that its industry remains 90 per cent import-dependent. DRDO says independence must begin with materials, not fabrication alone. India’s semiconductor mission therefore includes plants, packaging and assembly units, while aiming eventually for control over the full ecosystem.