Micron's Assembly Plant in Sanand

How US memory chipmaker Micron chose India for a major assembly and test plant, what it does, and why it matters for India's chip ecosystem.

In June 2023, US memory chip company Micron Technology announced an assembly and test (ATMP) facility in Sanand, Gujarat.

The project

Total investment of around 2.75 billion dollars, including Micron’s investment and central and state government support.
The plant assembles and tests memory chips (DRAM and NAND) made in Micron’s fabs elsewhere.
It was the first major project approved under the India Semiconductor Mission.

Why memory chips?

Memory chips store data in phones, computers, servers and AI systems. Demand for memory is huge, especially with AI data centres.

What ATMP does

Cutting wafers into individual chips.
Packaging them.
Testing for quality.

Advanced packaging is becoming more important as chips get more complex.

Why it matters

Jobs: thousands of direct and indirect jobs.
Skills: training Indian workers in semiconductor processes.
Ecosystem: attracting suppliers and other companies.
Signal: a major global chipmaker’s commitment boosted confidence in India.

Challenges

Maintaining quality and productivity comparable to plants in Asia.
Building supply chains for materials.

The memory module

A memory chip wafer made in Micron's fab abroad arrives in Sanand. Workers cut, package and test the chips, which are then shipped to device makers worldwide.

Thinking an ATMP plant makes chips from scratch

ATMP plants package and test chips fabricated elsewhere.

Key takeaways

Micron announced a Sanand ATMP plant in June 2023.
Total investment was around 2.75 billion dollars with government support.
It assembles and tests memory chips.
It brings jobs, skills and confidence to India's chip ecosystem.