It will be India's first and world's first multi-material fabrication (fab) plant for national security. It is also one of the first fabs of its kind within Quad.

• It is the first time, US military has agreed for a technology partnership in highly valued technologies with India.

About Semiconductor Fabrication Plant

• Fab, to be known as ‘Shakti’, will focus on three essential pillars for modern war fighting — advanced sensing, advanced communications and high voltage power electronics.
• It will be established with objective of manufacturing infrared, gallium nitride and silicon carbide semiconductors.
  • It will get support from India Semiconductor Mission and set up as strategic technology partnership between Bharat Semi, 3rdiTech, and U.S. Space Force.

Significance of Semiconductor Fabrication Plant

• Strategic Shift: It will shift India from chip taker to chip maker, boosting national security and positioning India as a key player in global semiconductor supply chain and net security provide in Indo-Pacific.
• Reducing country’s dependence on imports: India currently imports $1 billion worth of semiconductors annually for national security purposes.
• Bolster India’s security infrastructure: It will address growing needs of commercial sectors like telecommunications, railways, and green energy.
• Enhance mutually beneficial linkages in R&D in chip manufacturing: Eg. Creation of GlobalFoundries’ (GF) Kolkata Power Center.