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Tuesday, May 10, 2005

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Frost & Sullivan gets mandate to study chip industry

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Bangalore , May 9

LATE but never too late seems to the be the spirit behind the India Semiconductor Association's decision to entrust the task of a study of the semiconductor industry to Frost & Sullivan, a global growth consulting company.

Citigroup, global financial services company, would sponsor the project.

The study, which is expected to be completed in six months, would cover the entire gamut of the supply chain from design capability, production and segment consumption pattern by various industries.

India, which lately has emerged as a significant consumer of semiconductor, with application electronics in wide spectrum industry, including the fast growing automotive industry, need to know its strengths in the core supply chain and consumption before enabling keen investors to shape their opinion.

The report based on the study, which would interact with about 300 companies in the core source areas of semiconductor, would provide a clear snapshot of the industry, its composition, challenges and opportunities in terms of consumption to strategise production capability, said the ISA Chairman, Mr Rajendra Khare.

Mr Khare told newsmen on Monday that India, which has been providing an enabling support to the global semiconductor industry through research and its chip design capability has acquired the competence to integrate itself through the entire value chain of the production and provide a leading edge technology.

Mr Anand Rangachary, Director, Frost & Sullivan, said the study would cover all the existing hubs of the semiconductor industry, which includes Bangalore, Hyderabad, Noida near Delhi, Pune and Chennai.

The study would make an in-depth inquiry into the research methodology, and demand supply-side research to give a clear perspective for the industry and the investors on India's potential.

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