
photo credit: yellowcloud
It has been well over twenty five years since Texas Instruments first set up shop in Bangalore. Other global semiconductor vendors have since made Bangalore, and more recently NOIDA, Hyderabad, Pune and Chennai into huge R&D hubs that develop products for global consumption. Indian engineers are now designing latest chips and systems using cutting edge technologies. However, not a single Indian chip company has emerged onto the global scene given all this teeming talent. This in itself is surprising, as the low cost Indian environment should make hi-tech businesses thrive. It is said that a semiconductor startup in the Silicon Valley has to raise funds in the range of of US $50m – $60m to be successful. With India’s lower costs of engineering resources, this number could be cut by half or a third, and make life much more simple for the VC as well as the entrepreneur. However, we don’t really see this happening. Why? Probably because India lacks the advanced angel investor culture that focusses on funding and advising hi-technology startups.
Continue reading India Needs Angels, not Fabs to Propel Semiconductor Growth