Hyderabad-based Spintronics AI Semiconductors is evaluating the feasibility of establishing a gallium nitride (GaN) semiconductor fabrication facility at Vikram Udyogapuri in Ujjain, Madhya Pradesh. The proposed project is being assessed as part of discussions with the state government and could involve an investment programme of approximately ₹2,800 crore, subject to feasibility studies and approvals.
The company’s team visited the proposed site following an invitation from the Madhya Pradesh Government and shared its initial observations. The assessment covers key requirements for semiconductor manufacturing, including air quality, environmental conditions, water availability and quality, reliable power supply, utilities, cleanroom infrastructure, logistics and waste management.
The indicative land requirement is around 40 acres. Approximately 24 acres could be used for the first phase, with the remaining area reserved for later expansion. The final land requirement and project configuration will depend on detailed technical and commercial assessments.
Under the preliminary investment roadmap, Phase I could involve investment of up to ₹800 crore. Subsequent phases would depend on technology readiness, market demand, infrastructure development and commercial requirements. The company said the figures are indicative and do not constitute a final investment commitment to the Ujjain facility.
At full development, the proposed project could support up to 1,000 direct jobs and approximately 2,800 indirect employment opportunities across semiconductor engineering, manufacturing, equipment, infrastructure and supply chains. These projections remain preliminary and will depend on the final project scope and implementation schedule.
Raghu Varma, Founder and CEO of Spintronics AI Semiconductors, said the state’s focus on developing technology capabilities offered an opportunity to build the project in stages. He said the company intended to assess technical and environmental requirements carefully to establish a commercially viable operation.
Following discussions with Madhya Pradesh Chief Minister Mohan Yadav, the state government issued a Letter of Intent to Spintronics AI covering potential support for semiconductor research and development, design and product engineering activities. The proposed support includes suitable space and assistance in developing an early-stage presence in the state.
Spintronics AI is also exploring GaN technology development with CSIR-Central Electronics Engineering Research Institute (CSIR-CEERI), Pilani. The work forms part of its efforts to assess options for indigenous GaN technology development and potential domestic manufacturing.
The proposed Ujjain facility remains at the preliminary feasibility stage. Any final investment decision and project timeline will depend on technical, commercial, environmental and infrastructure assessments, along with required approvals and applicable incentives. Spintronics AI works in semiconductor design and product engineering, with activities covering GaN, radio-frequency technologies, power semiconductors and power-management solutions.