Applied Materials To Invest $5 Billion In India Over 10 Years

Applied Materials plans to invest $5 billion in India over the next decade, expanding R&D, building a 140-acre semiconductor research park and scaling its India-based supply-chain capacity tenfold by 2035.

US-based semiconductor equipment manufacturer Applied Materials plans to invest $5 billion in India over the next decade as part of its “India Vision 2035” initiative. The company announces the investment at SEMICON India 2026 in New Delhi, focusing on research and development, supply-chain expansion and talent development.

Applied Materials President of the Semiconductor Products Group Prabhu Raja says the initiative will follow three key pillars: deepening the company’s R&D capabilities in India, accelerating the domestic semiconductor ecosystem and developing future talent. The investment is intended to expand India’s role in the company’s global semiconductor operations.

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As part of the R&D expansion, Applied Materials announces plans for a 140-acre advanced semiconductor research park in India. The proposed facility will bring together cleanroom capabilities, engineering expertise and collaborative research involving customers and suppliers. The company had earlier ordered India’s first 300-millimetre laboratory in 2024.

The company also plans to significantly expand its India-based supply chain. Applied Materials aims to increase its supply chain capacity in the country tenfold by 2035, creating opportunities for Indian suppliers while encouraging global suppliers to establish or expand their presence in India.

The investment comes as India seeks to develop capabilities across the semiconductor value chain, including chip design, manufacturing, packaging, equipment and supporting technologies. SEMICON India 2026 brings together more than 600 companies and representatives from 52 countries, highlighting the growing focus on semiconductor investment and ecosystem development in the country.

Applied Materials also plans to strengthen its engineering and innovation activities in India. The company currently employs more than 7,000 people in the country, while its broader plans include expanding R&D capabilities and developing engineering, manufacturing and supply chain skills through university partnerships, apprenticeships and certification programmes.

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The investment announcement follows Applied Materials’ existing expansion plans in Karnataka. The company is set to invest around ₹3,600 crore in Karnataka over 10 years, with its Bengaluru project expected to create about 1,000 jobs.

The latest commitment further expands Applied Materials’ long-term presence in India and links its domestic R&D and supply-chain activities with its global semiconductor operations.