India’s semiconductor industry has secured $1.4 billion in equity funding since 2021, with nearly half raised since 2025, signalling rapid growth as the country prepares to host SEMICON India 2026 and strengthen its position in the global supply chain.
India’s semiconductor industry has attracted $1.4 billion in equity funding across 281 financed companies, with nearly half that total, or $701 million, raised since 2025, according to data from Tracxn cited by PTI. The figures come just before SEMICON India 2026, the country’s flagship chip industry gathering, underscoring how quickly the sector has expanded as New Delhi seeks to build a larger role in the global semiconductor supply chain.
SEMICON India 2026 is scheduled for September 17 to 19 at Yashobhoomi in New Delhi, and the event’s organiser says Prime Minister Narendra Modi will open the fifth edition on September 17. The conference is expected to draw more than 500 exhibitors from over 20 countries, with SEMI saying the show is intended to highlight India’s ambitions to become a trusted partner in the global microelectronics value chain.
Tracxn’s data show that India now has 3,557 semiconductor-related companies, though only 142 have raised equity funding. Funding momentum has accelerated sharply, rising from $49 million in 2021 to $473 million in 2025, with a five-year compound annual growth rate of more than 36%. The sector has already brought in $228 million in funding in 2026 year to date.
Bengaluru remains the industry’s main hub, home to 626 companies and accounting for 40.1% of all equity funding raised so far. Noida, Gurugram, Kochi and Hyderabad also feature prominently. Among business models, electronic manufacturing services has attracted the most money since 2025, while embedded hardware has also seen strong interest. On the exit side, acquisitions remain more common than initial public offerings, with the sector recording 62 acquisitions versus 42 IPOs. The biggest exit to date was eInfochips’ $282 million acquisition, followed by Narayan Powertech at $262 million and SmartPlay Technologies at $180 million.
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