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What Is Intel’s New Odisha Semiconductor Project and How It Will Impact Jobs and Investments

India's semiconductor sector received a major boost as Intel, the Odisha Government, and 3DGS signed an MoU to establish a $3.3 billion substrate manufacturing facility. The project aims to create jobs, enhance chip packaging capabilities, and strengthen India's position in the global semiconductor supply chain.
Odisha-Intel-3DGS MoU
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New Delhi: The substrate manufacturing technology in India initiative received a major boost after the Government of Odisha, Intel Corporation, and US-based 3DGS Inc. signed a landmark Memorandum of Understanding (MoU) to establish an advanced semiconductor substrate manufacturing facility in Odisha

The project is expected to strengthen India’s semiconductor ecosystem, create high-skilled jobs, and support the country’s goal of becoming a global semiconductor manufacturing hub. 

According to the official report, this is among the largest high-technology manufacturing investments announced in India.

Odisha-Intel-3DGS MoU: Major Boost for India’s Semiconductor Mission

The agreement was signed in the presence of:

  • Ashwini Vaishnaw
  • Mohan Charan Majhi
  • Lip-Bu Tan

Read also: India’s Semiconductor Milestone: India Becomes 7th Country to Develop Indigenous Gallium Nitride Defence Chips

The project aligns with the Government of India’s long-term vision of developing a complete semiconductor manufacturing ecosystem under the India Semiconductor Mission.

What Is the Odisha-Intel-3DGS MoU

The MoU aims to establish an:

  • Advanced Packaging Glass Core Substrate Manufacturing Facility
  • High-Density Interconnect (HDI) Substrate Production Unit
  • Semiconductor Packaging Technology Center

The facility is proposed to be located in the Bhubaneswar-Khurda region of Odisha and will focus on advanced semiconductor packaging technologies. Intel will provide technical expertise, manufacturing know-how, and process support for the project.

Investment Details

Reports indicate that the project could attract an investment of around $3.3 billion (approximately ₹27,000 crore), making it one of the biggest investments in India’s semiconductor manufacturing sector.

Key Highlights

  • Estimated investment: $3.3 billion
  • Location: Bhubaneswar-Khurda, Odisha
  • Technology Partner: Intel Corporation
  • Manufacturing Partner: 3DGS Inc., USA
  • Implementation timeline: 5–6 years
  • Focus: Semiconductor substrates and advanced packaging solutions

Employment Opportunities

The semiconductor project is expected to generate:

  • More than 1,800 direct high-skilled jobs
  • Thousands of indirect employment opportunities
  • Growth in supporting industries such as electronics, logistics, engineering, chemicals, and digital infrastructure

The government believes the project will significantly strengthen the manufacturing ecosystem in eastern India.

Why Semiconductor Substrates Matter

Semiconductor substrates are critical components used in chip packaging and manufacturing. They act as the base layer on which semiconductor circuits and components are mounted.

The Odisha facility will focus on:

  • Glass core substrates
  • High-density interconnect substrates
  • Advanced semiconductor packaging technologies

These technologies are essential for next-generation AI chips, data centers, high-performance computing systems, smartphones, and automotive electronics.

Odisha-Intel-3DGS MoU: Government’s Statement

Union Minister Ashwini Vaishnaw said investments by leading global semiconductor companies show growing confidence in India’s semiconductor sector. 

He noted that recent investments and partnerships involving companies such as Applied Materials, Lam Research, Tokyo Electron, Merck Electronics, Tata Electronics, and ASML reflect trust in India’s policy framework and semiconductor ambitions.

How Odisha-Intel-3DGS MoU Supports India’s Semiconductor Goals

The project is expected to:

  • Reduce dependence on imported semiconductor components
  • Strengthen India’s supply chain resilience
  • Promote export-oriented manufacturing
  • Build advanced chip packaging capabilities
  • Position Odisha as a global semiconductor manufacturing destination

Industry experts believe the facility could become a key part of India’s growing semiconductor value chain.

What is the Importance of Odisha-Intel-3DGS MoU

For Odisha, the project could bring:

  • Large-scale industrial investment
  • Technology transfer from global semiconductor leaders
  • Development of skilled workforce
  • Growth in digital infrastructure
  • Increased foreign direct investment opportunities

The state government has been actively promoting Odisha as a destination for electronics and semiconductor manufacturing.

Read also: What Is India’s First Chip Fabrication Plant? Key Details About the Dholera SEZ Semiconductor Project


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