The ER&D firm has formed a separate subsidiary to cash in emerging demand
Debasis Mohapatra
Bengaluru, 15 September
Cyient is betting aggressively on the semiconductor business as its ability to provide an end-to-end service offerings for the turnkey chip design puts the company in good stead.
“Our credentials in the semiconductor electronics segment, both through Cyient DET and Cyient DLM have enabled us to set up a wholly loan subsidiary to drive dedicated focus on turnkey ASIC design and chip sales to a fabless model for analog mixed signal chips,” Krishna Bodanapu, Vice Chairman and MD of Cyient has said during the Q1FY25 analyst call.
“Currently, what we mean is we’re able to design these ships. We’re able to fabricate these chips, test these chips, prototype these chips and sell these chips to our customers. We already have this ability within Cyient to provide an end-to-end service offerings for the turnkey chip design,” he has said.
According to the ER&D (engineering, research & development) firm, it is uniquely placed in terms of its abilities including design, fab, OSAT, testing and others.
In July, Cyient had set up a new wholly-owned subsidiary to provide semiconductor design services.
“The subsidiary will strengthen our position in the industry by delivering world-class specialised turnkey Application Specific Integrated Circuits (ASIC) design and chips sales under focused and capable leadership, adapting to market cycles, and more effectively addressing this industry’s technology and capital requirements,” Cyient has said in a statement announcing the formation of new subsidiary.
As per estimates, the global semiconductor market is expected to hit a trillion dollars by 2030. Similarly, Indian Electronics and Semiconductor Association (IESA) forecasts that the semiconductor industry’s growth is likely to touch $100 billion by 2030.
On the back of such growth prospects, Cyient’s inhouse capabilities are likely to help the company in winning new deals in the semicon space.
