Government Approves 23 DLI-Backed Semiconductor Projects to Boost Startups and MSMEs

In a significant boost to India’s semiconductor ecosystem, the Government of India has approved 23 semiconductor design projects (DLI-Backed Semiconductor Projects) under the Design Linked Incentive (DLI) Scheme. The move aims to strengthen the country’s domestic chip design capabilities and promote innovation among startups and micro, small, and medium enterprises (MSMEs).

The announcement was made by the Ministry of Electronics and Information Technology (MeitY), highlighting India’s growing ambition to become a global hub for semiconductor design and manufacturing.

India’s Push for Semiconductor Self-Reliance

The approved projects are primarily led by startups and MSMEs and focus on developing indigenous chips and System-on-Chip (SoC) solutions for critical applications, including:

• Surveillance cameras
  
• Energy meters
  
• Microprocessor IPs
  
• Networking systems
  
• Automotive electronics
  
• Industrial automation
  

This initiative is part of India’s larger vision to reduce dependence on semiconductor imports and create a “designed-in-India” ecosystem that can serve both domestic and global markets.

Additionally, 72 companies have been granted access to Electronic Design Automation (EDA) tools under the scheme. These tools allow startups to work with industry-standard resources, helping them develop complex semiconductor solutions more efficiently and competitively.

Vervesemi Microelectronics: A DLI Success Story

Among the approved projects, Vervesemi Microelectronics stands out as one of the pioneers driving India’s semiconductor innovation. Founded in 2017, the fabless semiconductor company is part of the first cohort under both the DLI Scheme and the Chips to Startup (C2S) Programme.

Vervesemi specializes in developing high-performance analog IPs and Application-Specific Integrated Circuits (ASICs). With operations spanning five foundries and more than 20 technology nodes, the company has built an impressive portfolio, including:

• 110+ IPs
  
• 25 IC SKUs
  
• 10 patents
  
• 5 trade secrets
  

Its technology caters to sectors like 5G, Wi-Fi 6/7, energy, aerospace, defense, industrial automation, and smart energy solutions.

Key Milestones of Vervesemi Microelectronics

Vervesemi has achieved several breakthroughs that highlight its growing influence in the global semiconductor landscape:

• Among the first Indian companies to export semiconductor intellectual property (IPs) to international markets.
  
• Developed proprietary analog chain IPs, enhanced with machine learning, now being used by global manufacturers.
  
• Recognized for delivering mission-critical solutions with high reliability in aerospace, defense, and energy sectors.
  

These achievements mark India’s growing capability to produce high-value chip solutions that meet global quality and reliability standards.

Vervesemi’s Roadmap: Volume Production by 2026–27

Looking ahead, Vervesemi plans to begin volume production of multiple ICs and SoCs by late 2026 and early 2027. These projects are being supported under both the DLI Scheme and the C2S Programme, with a focus on diverse applications.

Upcoming ICs and ASICs

• BLDC Controller ASIC (C2S Programme)

Designed for small motor applications such as fans and appliances. Samples expected by 2026.

• Precision Motor-Control ASIC (DLI-Recognized)

Developed for electric vehicles, drones, and industrial automation. Samples expected by 2026.

• Multifunction Data Acquisition ASIC

Designed for space and avionics applications. Engineering samples expected by 2026.

• Weighing Scale & Bridge Sensor ASIC

Targeted at weighing systems and Force Touch devices. Samples expected by end of 2025.

• Smart Energy Metering ASIC

Built in India for high-speed, ultra-accurate energy measurement with Class 0.2S compliance. Samples expected by end of 2025.

Machine Learning at the Core of Innovation

One of Vervesemi’s unique strengths lies in embedding machine learning (ML) capabilities directly into its chips. This innovation enhances performance and reliability by enabling:

• Self-healing systems for better fault detection and recovery
  
• Fail-safe reliability for mission-critical applications
  
• Improved fabrication yields leading to cost efficiency
  
• Higher precision and energy efficiency for industrial and consumer electronics
  

By integrating intelligence into every IC, Vervesemi is creating solutions designed not just for today’s needs but also for future-driven applications in critical sectors worldwide.

India’s Vision for a Semiconductor-Driven Future

Smt. Sunita Verma, Group Coordinator (R&D) at MeitY, emphasized India’s long-term goal of becoming a global leader in semiconductor design and innovation. She stated that the vision is to make “designed-in-India” chips a standard feature across devices worldwide.

Speaking about the milestone, Rakesh Malik, Founder & CEO of Vervesemi, said:

“These innovations represent a significant moment for India’s semiconductor ecosystem. By producing high-performance, Made-in-India ICs for both strategic and consumer markets, we are advancing import substitution and showcasing India’s ability to lead on the global stage.”

Adding to this, Pratap Narayan Singh, Founder & CTO of Vervesemi Microelectronics, highlighted the role of machine learning in redefining chip capabilities:

“At Vervesemi, we combine advanced signal-chain design with machine learning to provide fault tolerance, adaptive calibration, and predictive diagnostics. Our multi-channel data acquisition and industrial ICs set new benchmarks in precision, efficiency, and reliability across aerospace, industrial, and consumer markets.”

Why the DLI Scheme Matters for India

The Design Linked Incentive (DLI) Scheme is a critical step in India’s efforts to build a robust semiconductor ecosystem. By supporting startups and MSMEs with funding, access to EDA tools, and collaborative platforms, the program is empowering homegrown innovators to compete globally.

This strategic investment will:

• Reduce dependence on imported semiconductor technologies
  
• Create a self-reliant chip design ecosystem
  
• Encourage global semiconductor companies to collaborate with Indian firms
  
• Generate high-value jobs for engineers and researchers
  
• Boost India’s position as an emerging technology hub