Silicon Carbide Chips: The Next Giant Step In India's Semiconductor Aspirations Companies such as L&T, CDIL, Zoho, are already pioneering innovations in the sector, with focus on automotive, renewable energy and industrial electronics

As India continues to work towards its ambition of becoming self-sufficient and a key player in global semiconductor value chains, a sector that has a promising future is Silicon Carbide (SiC) chips.

SiCs are important to India because they are a key component in many high-power applications and energy-efficient sectors across industries such as electric vehicles (EVs), renewable energy and industrial systems. The SiC market in India was valued at $41,356.70 thousand in 2023 and is expected to reach $93,942.90 thousand by 2031.

Current applications and innovations

Various Indian companies are already pioneering innovations in the sectors. Along with high-end silicon, L&T Semiconductor Technologies Ltd. (LTSCT) is also working on silicon carbides and gallium nitrides (GaN) for high-frequency and high-power devices, respectively. Collaborations are already in place with leading foundry companies to cater to the requirements.

"SiC chips are becoming a cornerstone in the semiconductor ecosystem due to their superior thermal performance, efficiency and durability, making them essential for applications like EVs, renewable energy systems, industrial automation and power grid modernization. India, with its robust EV adoption roadmap under initiatives like FAME II and the country's ambitious goal of achieving 500 GW of renewable energy capacity by 2030, is well-positioned to drive the demand for SiC chips," said Sandeep Kumar, CEO, LTSCT.

LTSCT is also working across various nodes, designing silicon chips in-house ranging from 40 nm to 7nm for digital use, with manufacturing handled by TSMC. "For power and analog chips (130nm to 28nm), production is managed by Global Foundries. SiC chips are produced in partnership with European and Japanese companies, while chips for radio frequency and power devices are made by Global Foundries and VIS Technologies," Kumar added.

By introducing this technology in India, Continental Device India Pvt. Ltd. (CDIL) has been successfully manufacturing Silicon Carbide (SiC) devices for the past three years in India for the world. "Our SiC MOSFETs and Schottky Barrier Diodes are being exported to over six countries, showcasing our commitment to delivering high-performance solutions globally," said Prithvideep Singh, general manager, CDIL.

CDIL's SiC MOSFETs and Schottky Barrier Diodes currently serve key industries such as automotive, renewable energy, and industrial electronics. In the automotive sector, these components are widely used in electric vehicles, chargers, and traction motors. For energy solutions, they are integral to power backup and energy storage systems, including UPS systems, inverters, stabilizers, solar inverters, and grid-scale energy storage. In industrial electronics, SiC devices are critical for motor drives, power converters, and automation systems, delivering superior efficiency and performance.

Future opportunities

"While these sectors remain our primary focus, we are also actively exploring emerging applications in Data Centers, Aerospace, and Defense. These industries hold significant potential for leveraging the high efficiency and durability of SiC technology in power management and advanced systems," added Singh of CDIL.

By 2025, CDIL aims to double SiC production capacity to capitalize on both the international and domestic markets. "To achieve this, we are strengthening our strategic collaborations with global technology leaders, allowing us to innovate and expand our SiC product portfolio. This initiative aligns with our vision of driving sustainable growth while cementing India's position in the global semiconductor ecosystem," Singh explained.

To capitalize on opportunities, LTSCT is committing strategic investments in silicon carbide research, development and manufacturing capabilities. "This includes fostering partnerships with academic institutions, industry leaders, and technology innovators to accelerate breakthroughs in SiC chip technology. Our focus will remain on supporting India's energy transition while contributing to global decarbonization efforts, cementing L&T Semiconductor Technologies as a leader in advancing SiC solutions for a sustainable future," Kumar added.

Another area where SiCs have high demand is the telecom sector. The deployment of 5G networks and the expansion of telecommunications infrastructure drive the demand for SiC semiconductors in high-frequency and high-power applications. SiC devices enable efficient power amplification and signal processing in base stations and network equipment, supporting the growth of wireless communications.

Growing competition

Zoho, the Chennai-headquartered global technology company, is also harnessing semiconductor aspirations. Sridhar Vembu, CEO and co-founder, emphasised on the right timing. Currently, the application of a silicon carbide fab is pending with the government. "It's a rigorous evaluation criteria because the government cannot, should not commit funds without thoroughly understanding the nature of technology, licensing, and other imperative parameters. We are also talking to more potential partners because this is a case where we don't have capabilities in India yet, and we have to bring in new technology from the outside," Vembu explained.

On his reason for choosing Silicon Carbide (SiC) fab, he shared that a silicon fab costs around 10 billion dollars investment. "We cannot build a billion dollar scale fab yet and so we chose this, the power electronics. It is crucial in India, we need it for trains like Vande Bharat; railways can drive huge growth in SiCs," he said.

Globally, the market is projected to grow at a compound annual growth rate (CAGR) of 6.2 per cent from 2023 to 2030, reaching a value of $13.92 billion by 2030, according to market insights.