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Why is engineering behemoth L&T chasing Vedanta & Tata s semicon ambitions, ET Telecom

Need is global. I think in India, most of the chips that are designed are directed by the global majors who choose, along with the designer, what chip they need to manufacture and push it back to India to do the backend designing. What we want to do is co-create this chip along with the customer. All automobile manufacturing headquarters, where product design gets decided, will be the area where we might have to workwith. So it could be India it could be overseas. I mean European cars, American cars, Japanese cars, all these will be the marketing hubs where we need to operate. But given the talent pool India has, the designing detailing will be done in India.

We need to create something that s going to sustain us: L&T

Larsen and Toubro (L&T), a major engineering firm, is venturing into fabless semiconductor chip design, emulating other Indian conglomerates like Vedanta and Tata Group. L&T will invest Rs 830 crore through a wholly-owned subsidiary dedicated to chip design for the automotive and industrial sectors. L&T s CFO, R Shankar Raman, reveals the company s strategic shift towards seeking alternative business opportunities for the future

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