Friday, January 1, 2010

Need for Indian semicon industry to think beyond embedded and design services

Howdy, folks! Warm greetings for a very happy and prosperous new year and wish you all the success in 2010.

A friend recently called me a ‘maverick’ blogger! I wonder why! Nevertheless, let’s start off the new year with a topic that has been coming up for discussion time and again.

It is said: Indian industry should think beyond embedded and design services. What should those be? What is that extra or more that the Indian industry should do to grab the attention of overseas players? I had the pleasure of discussing this aspect with Jaswinder Ahuja, corporate vice president and managing director, Cadence Design Systems (I) Pvt. Ltd.

India should become next innovation hub
According to Jaswinder Ahuja, the Indian semiconductor industry has come a long way from the early eighties when a few companies set up centers to offshore non-critical design work to India.

“Today, India is a preferred destination for chip, board, embedded software design and development. Captive design centers and design services companies now own end-to-end design. Fabless companies and IP providers have also emerged, resulting in the gradual, steady rise of India’s semiconductor ecosystem. India now needs to move to the next level i.e., become the next innovation hub for experimenting and launching new products,” he said.

The mobile phone revolution in India has taught us that India is a very large, viable and profitable market if all elements of the ecosystem align and there is appropriate innovation at the technology and business level.

The Indian market has some unique characteristics and provides Indian entrepreneurs a once-in-a-lifetime opportunity to innovate, create and capture value by building products and solutions for the local market, which can then be extended to global emerging and developed markets.

He added that Indian companies also need to get comfortable with collaborating across the value chain within India and globally. “Sectors like energy, healthcare, communications and education hold immense potential and we are already starting to see early signs of Indian companies innovating for the Indian market.”

All of this does make a lot of sense!

Yes, like you, I too am looking forward to seeing lot of product development and innovation. It is definitely not going to serve anyone by making negative statements as to what hasn’t happened in India so far! We all know what’s happened and what hasn’t! It would serve everyone’s purpose if much more attention was paid in India to actually developing and building products and solutions for India, which would solve local problems.

The second part of this discussion will look at the top semicon/EDA trends to watch out for in 2010.

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