Introduction
India is making waves in the global semiconductor ecosystem. Kaynes Semicon Pvt Ltd has officially shipped India’s first commercially packaged multi-chip module (MCM) to Alpha & Omega Semiconductor (AOS) in California.
This achievement comes from the company’s Sanand OSAT (Outsourced Semiconductor Assembly and Test) facility, established under the India Semiconductor Mission (ISM 1.0) with a ₹1,653.5 crore investment from the government.
This milestone is not just about producing chips; it represents India’s capability in advanced packaging, positioning the nation as a trusted partner for global semiconductor companies.
/techovedas.com/global-semiconductor-industry-to-invest-400-billion-in-300mm-fab-equipment-by-2027
5 Key Highlights
- India’s First Multi-Chip Module: A breakthrough for domestic semiconductor packaging.
- Advanced OSAT Facility: Sanand plant backed by ₹1,653.5 crore under ISM 1.0.
- Complex Engineering Feat: Each IPM integrates 17 dies, including 6 IGBTs, 2 controller ICs, 6 FRDs, and 3 diodes.
- Global Partnerships: Shipment to AOS strengthens India’s credibility in international semiconductor supply chains.
- Boost for India’s Semiconductor Ecosystem: Critical for EVs, renewable energy, and industrial automation.
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The Strategic Significance of Sanand OSAT
The Sanand OSAT facility represents a strategic move in India’s semiconductor ambitions.

With a ₹1,653.5 crore investment under ISM 1.0, the plant is designed to deliver high-value semiconductor packaging and testing, an area traditionally dominated by countries like Taiwan, South Korea, and Germany.
Raghu Panicker, CEO of Kaynes Semicon, highlighted the significance:
“Companies generally focus on single die packaging. We delivered a multi-chip module — a complex product that we assembled, tested for quality, marked, and packaged for AOS.”
The facility is currently capable of producing 3,000 units per day, with shipments scheduled regularly, indicating that Kaynes is prepared for continuous high-volume production.
techovedas.com/india-semiconductor-ecosystem-why-it-needs-an-anchor-industry
Understanding Multi-Chip Modules (MCMs)
A multi-chip module (MCM) integrates multiple semiconductor dies into a single package. Unlike a single die package, where all circuits reside on one silicon die, MCMs combine several specialized dies or “chiplets” to improve:
- Performance
- Modularity
- Time-to-market
- Design flexibility
The IPMs shipped to AOS contain:
- 6 IGBTs (Insulated Gate Bipolar Transistors)
- 2 controller ICs
- 6 fast recovery diodes (FRDs)
- 3 additional diodes
This complex configuration supports high-efficiency power control, crucial for electric vehicles, industrial automation, and renewable energy systems.
techovedas.com/why-china-is-investing-heavily-in-chiplets
Global Partnerships and Market Impact
Shipping to AOS, a U.S.-headquartered semiconductor supplier, positions Kaynes as a reliable global OSAT partner. It also opens avenues to collaborate with industry leaders like Infineon Technologies, a current market leader in power modules.
Neil Shah, Technology Analyst at Counterpoint Research, commented:
“Kaynes is not taking baby steps with basic packaging but jumping directly into complex, highly integrated modules. Manufacturing at scale for such high-performance modules is a commendable feat.”
Such partnerships not only validate the quality of Indian semiconductor manufacturing but also create pathways for future export-led growth in advanced chip packaging.
/techovedas.com/infineon-unveils-worlds-first-300mm-gan-wafer-technology-for-power-electronics/
Impact on India’s Semiconductor Ecosystem

This milestone strengthens India’s semiconductor ecosystem in several ways:
- Filling the OSAT Gap: India has been importing advanced chip packaging solutions. Kaynes now provides a domestic alternative.
- Skill and Technology Development: Multi-chip module assembly demands precision in thermal management, wire bonding, and quality testing.
- High-Value Applications: IPMs are crucial for EVs, solar inverters, industrial automation, and other high-reliability sectors.
- Boosting Investor Confidence: Global partnerships demonstrate India’s capability to meet international standards.
- Foundation for Advanced Packaging Expansion: The success paves the way for next-gen technologies like 2.5D/3D ICs.
The Road Ahead
With OSAT demand rising due to AI, EVs, and IoT growth, India’s semiconductor strategy is focused on:
- Scaling production capacities beyond 3,000 units per day
- Expanding the client portfolio to global semiconductor leaders
- Investing in R&D for next-generation packaging technologies
The Sanand facility, backed by ₹1,653.5 crore, serves as a blueprint for how India can move from basic assembly to high-value, complex semiconductor integration.
techovedas.com/why-tsmc-wants-osat-partners-to-expand-advanced-packaging
Conclusion
The rollout of India’s first multi-chip module is more than a manufacturing milestone; it’s a strategic leap for India’s semiconductor ecosystem.
With a ₹1,653.5 crore investment under ISM 1.0, Kaynes Semicon has demonstrated the country’s readiness to compete in advanced packaging on a global scale.
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