Tata Consultancy Services (TCS), India’s largest IT services company, has announced the launch of its chiplet-based system engineering services, aimed at driving innovation in semiconductors and strengthening the country’s strategy to become a global microchip hub.
This initiative comes at a crucial time: the Indian semiconductor market, valued at between $45 billion and $50 billion in 2024-2025, is projected to surpass $100 billion by 2030, according to industry estimates.
Democratizing Next-Generation Chip Design
TCS’s new services are designed to assist semiconductor companies in developing faster and more powerful chips, democratizing access to advanced design technologies. With this move, the Indian multinational aims to position itself as a strategic partner for both local and international clients seeking to optimize their chip-to-system engineering processes.
“India already accounts for 20% of the world’s chip design engineers, and major global players are investing in manufacturing and assembly facilities. With these services, TCS aims to accelerate that momentum even further,” the company stated in its release.
Chiplets: The New Frontier in Semiconductor Design
The chiplet approach is establishing itself as an efficient alternative to traditional monolithic chip design. It involves integrating several small specialized chips into a single package, providing flexibility, scalability, and reduced development costs.
In this area, TCS also offers advanced packaging design services, including 2.5D and 3D interposers and multi-layer organic substrates, essential materials for connecting and supporting multi-chip packages. These solutions enhance signal integrity, lower latency, and enable more compact form factors for next-generation products.
Institutional Support and Future Vision
The TCS announcement aligns with the India Semiconductor Mission (ISM), a government initiative empowered with ₹76,000 crore to promote local manufacturing, design, and production of semiconductors. This roadmap aims to reduce reliance on foreign suppliers and position India as a key player in the global value chain.
V. Rajanna, TCS’s President of Technology, Software, and Services, emphasized the significance of this launch:
“Our chiplet-based services will help semiconductor companies accelerate tape-out processes, offering flexibility, scalability, and faster time-to-market. The combination of investments in next-generation technologies and our industry expertise makes us a preferred partner to drive innovation at scale.”
Real-World Cases and Global Adoption
In a recent project, TCS collaborated with a U.S.-based semiconductor firm to simplify the integration of different types of chips within a single system. This experience modernized their design approach and introduced chiplet-based methods, enabling the creation of more efficient systems with faster production timelines.
This move strengthens India’s position in the global value chain by combining talent, supportive policies, and technological innovation within a sector crucial for AI, electric vehicles, 5G telecommunications, and data centers.
Frequently Asked Questions (FAQs)
What are chiplets and why are they important?
They are small, specialized chips integrated into a single package to form a complete system. They enable designing more flexible, scalable, and efficient products compared to traditional monolithic chips.
What role does India play in the global semiconductor industry?
Currently, India hosts 20% of the world’s chip design engineers. With initiatives like the ISM and projects from companies like TCS, the country aims to become a global hub for innovation and manufacturing.
How do these services impact chip development timelines?
Chiplet-based methods can shorten time-to-market because they allow for combining pre-optimized components rather than designing monolithic chips from scratch.
Which sectors will benefit from this innovation?
Key beneficiaries include AI, electric mobility, telecommunications, and data centers, all demanding faster, more compact, and energy-efficient processors.