NeST group to set up $1 B chip foundry in India

By agencies   |   Thursday, 02 June 2005, 19:30 IST
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KOCHI: Kerala based Information Technology company NeST Group, is planning a big foray into semiconductor design and development, envisaging the setting up of a manufacturing foundry for memory chips at an investment of $1 billion. The 6 billion diversified electronics group will set up a 200 seat VLSI design center in association with a Japanese chipmaker in the first phase of the plan, said Javad Hassan, NeST Chairman. “The design center will come up by January 2006,” Hassan said. He however declined to name the Japanese company that is partnering with NeST in the project. In the second phase that will begin about a year and half later, a testing facility will be setup. This will be followed setting up of the foundry for manufacturing of the memory chips, Hassan said. “Hopefully all these will happen by 2008 end,” Hassan said. NeST plans to invest $1 billion into its proposed semiconductor business, which the company believes would propel it into the ‘bigger league of global players.’ Asked how he would raise the funds for the project, Hassan said mobilizing funds would not be a problem for the group. “There is plenty of money available,” he said. A company statement said investors have already been identified from Japan and West Asia.