despite not having fabs, the 'fabless India" had been shining brightly! Later, in August 2011, I had written an article on whether India was keen on going the fabless way! At the IESA Vision Summit, Dr, Wally Rhines repeated nearly the same lines!
the number of new fabless startups has declined substantially in the
West during the past decade, they are growing in India, said Dr. Walden
C. Rhines, chairman and CEO, during his presentation "Next Steps for the
Indian Semiconductor Industry" at the ongoing IESA Vision Summit 2014
India has key capabilities to stimulate growth of
semiconductor companies, which include design services companies, design
engineering expertise and innovation, returning entrepreneurs, and
educational system. Direct interaction with equipment/systems companies
will complete the product development process.
Off the top 50
semicon companies in 2012, 13 are fabless and four are foundries. The
global fabless IC market is likely to grow 29 percent in 2013. The
fabless IC revenue also continues to grow, reaching about $78.1 billion
in 2013. The fabless revenue is highly concentrated with the top 10
companies likely to account for 64 percent revenue in 2013. As of 2012,
the GSA estimates that there aere 1,011 fabless companies.
semiconductor IP (SIP) market has also been growing and is likely to
reach $4,774 million by 2020, growing at a CAGR of 10 percent. The top
10 SIP companies account for 87 percent of the global revenue. Tape-outs
at advanced nodes have been growing. However, there are still large
large opportunities in older technologies.
IoT will transform industry
is expected that the Internet of Things (IoT) will transform the
semiconductor industry. It is said that in the next 10 years, as many as
100 billion objects could be tied together to form a “central nervous
system” for the planet and support highly intelligent web-based systems.
As of 2013, 1 trillion devices are connected to the network.
differentiation alone makes switching analog/mixed-signal suppliers
difficult. Change in strategy toward differentiation gradually raises
India's evolving importance to future of fabless
India ranks among the top five semiconductor design locations
worldwide. US leads with 507, China with 472, Taiwan with 256, Israel
with 150, and India with 120. Some prominent Indian companies are Ineda,
Saankhya Labs, Orca Systems and Signal Chip (all fabless) and DXCorr and
SilabTech (all SIP).
India is already a leading source of SIP,
accounting for 5.3 percent, globally, after USA 43 percent and China
17.3 percent, respectively. It now seems that India has been evolving
from design services to fabless powerhouse. India has built a foundation
for a fabless future. It now has worldwide leadership with the most
influential design teams in the world.
Presently, there are 1,031
MNC R&D centers in India. Next, 18 of the top 20 US semiconductor
companies have design centers in India. And, 20 European corporations
set up engineering R&D centers in India last year. India also has
the richest pool of creative engineering resources and educational
institutions in the world. The experience level of Indian engineers has
been increasing, but it is still a young and creative workforce. There
is also a growing pool of angel investors in India, and also in the
West, with strong connections to India.
So, what are the key
ingredients to generate a thriving infrastructure? It is involvement and
expertise with end equipment. Superb product definition requires the
elimination of functional barriers. He gave some examples of foreign
“flagged” Indian companies that produced early successes. When users and
tool developers work in close proximity, “out-of-the-Box” architectural
innovations revolutionize design verification.