US Chip Toolmaker Lam Research to Invest Over $1 Billion in India
Lam Research (LRCX.O), a U.S.-based chip toolmaker, announced it will invest over 100 billion rupees (approximately $1.2 billion) in India’s Karnataka state, marking a significant contribution to the country’s semiconductor development plans. The announcement was made during an ‘Invest Karnataka’ event on Tuesday, where Lam Research signed a memorandum of understanding (MoU) with the Karnataka Industrial Area Development Board (KIADB) to formalize the investment.
The Indian government, led by Prime Minister Narendra Modi, has been actively working to boost the country’s semiconductor industry, with initiatives such as a $10 billion incentive package aimed at stimulating growth in this sector. India’s semiconductor market is projected to reach $63 billion by 2026, and global chip firms are increasingly investing in the country to strengthen its semiconductor ecosystem and compete with dominant hubs like Taiwan.
India’s IT minister hailed Lam Research’s investment as a “big vote of confidence” in the government’s semiconductor vision and described it as a “milestone” in India’s journey to becoming a significant player in the global chip industry.
Headquartered in Fremont, California, Lam Research develops essential tools for semiconductor manufacturing, focusing on wafer-processing and semiconductor device wiring. Karnataka, home to the IT hub of Bengaluru, plays a major role in India’s economy and is a leading exporter of software, IT services, and manufactured goods.