India’s new Rs 1.27 lakh crore Semicon 2.0 scheme is set to accelerate chip manufacturing and ecosystem development across the semiconductor value chain. Meanwhile, food delivery firm Zomato is closing its Hyderabad customer support center, citing operational consolidation and evolving business needs.
- Semicon 2.0 provides fiscal incentives spanning chip design to production.
- Zomato closes Hyderabad support center, laying off 250 employees.
- Global asset manager State Street invests $65m in Groww AMC.
What happened
The Indian government officially notified the Semicon 2.0 scheme, allocating Rs 1.27 lakh crore to strengthen the country’s semiconductor ecosystem. This comprehensive program targets fiscal support across the entire semiconductor value chain, including chip design, semiconductor fabrication plants, assembly, packaging, testing, and manufacturing of capital equipment used in chip production. The scheme will also promote the development of semiconductor intellectual property (IP) cores, system-on-chips (SoCs), and standard IP building blocks crucial for modern electronics.
In parallel corporate news, Zomato is shutting down its Hyderabad customer support center, affecting around 250 employees. This restructuring is driven by Zomato’s ongoing shift towards outsourcing customer support work to external partners and consolidating core support functions at its Gurugram headquarters. The company has communicated the decision to affected employees, offering salary and compensation packages alongside extended medical and counseling support.
Why it matters
Semicon 2.0 represents a significant policy push to position India as a competitive player in the global semiconductor industry. By providing fiscal incentives and developing domestic semiconductor IP and infrastructure, the scheme seeks to reduce import dependence and drive high-technology manufacturing growth. This is expected to boost the semiconductor ecosystem, create jobs, and foster innovation aligned with national strategic priorities.
Zomato’s decision to exit Hyderabad for customer support reflects broader shifts in operational strategy among Indian tech firms aiming to optimize costs and centralize tech-oriented teams. The layoffs highlight ongoing workforce realignments in the evolving Indian startup and technology sector. Meanwhile, Zomato’s move underscores the growing trend of outsourcing to specialized partners, which may impact employment patterns in regional tech hubs.
What to watch next
Industry stakeholders will closely monitor the implementation details and early outcomes of the Semicon 2.0 scheme, especially the rate of new chip fabrication units and intellectual property innovations emerging from this program. Additionally, updates on R&D guideline revisions by the Ministry of Electronics and Information Technology could further influence the ecosystem’s development trajectory.
In the corporate space, it will be important to watch how Zomato manages the transition for affected employees and whether other Indian tech firms follow similar models of centralizing support operations. Also noteworthy is State Street Investment Management completing a $65 million investment in Groww AMC, indicating growing foreign interest and consolidation in India’s financial services technology sector.