Radar systems do not merely need processors. They need specialised RF silicon that can survive extreme frequency, voltage and power demands. DRDO’s Solid State Physics Laboratory has developed indigenous GaN-on-SiC technology, including 4-inch SiC wafers, GaN HEMTs and a 3.5 × 3.5 mm GaN MMIC capable of 30 watts. Higher-power devices have reached 150 watts, with limited production beginning at GAETEC, Hyderabad. The significance extends beyond one chip. AESA radars, electronic warfare systems, seekers, satellite communications and counter-drone platforms all depend on such components. Semiconductor sovereignty, therefore, is increasingly about owning the specialised silicon beneath the battlefield’s visible machinery.

About $701 million, nearly half of the $1.4 billion raised by Indian semiconductor companies across 281 ventures, has arrived since January 2025. The striking shift is where that capital is landing: chip design, IP, engineering, packaging, equipment and hardware, alongside the headline fabs. Bengaluru remains the funding nucleus, while Tessolve leads cumulative startup funding. Ahead of SEMICON India, the ecosystem is beginning to resemble the semiconductor industry it hopes to build, with suppliers forming the layers beneath the cleanroom. A fab can manufacture silicon, but hundreds of specialised companies make the economics work. The supporting cast is finally getting funded.

India’s next technology boom may look less like apps and more like factories. A new Jefferies assessment argues that six sectors: semiconductors, space, aerospace, electronics, solar manufacturing and data centres are beginning to reinforce one another, creating the foundations of a new industrial cycle. In semiconductors alone, roughly $20 billion of investment has reportedly been triggered, while fresh incentives could accelerate fabs and packaging capacity. The flywheel is obvious: AI needs data centres, data centres need chips and power, defence and space need electronics and advanced manufacturing. India’s previous boom was software-led. The next one could be built in steel, silicon and satellites.