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First India-made chip module sent to US firm AOS

India's first commercially packaged multi-chip module (MCM) was rolled out of Kaynes Semicon's outsourced semiconductor assembly and test (OSAT) facility in Sanand in the wee hours of Wednesday and delivered to California-based Alpha & Omega Semiconductor (AOS).
Around 900 intelligent power modules (IPMs) were sent to AOS — a Sunnyvale-headquartered designer, developer and global supplier of a broad range of power semiconductors.
The Sanand OSAT has been set up under the aegis of India Semiconductor Mission 1.0 (ISM) with an investment of Rs 1,653.5 crore from the Centre.
IPM is a semiconductor device that integrates power switching elements (like insulated gate bipolar transistor or IGBT, a power semiconductor device) with their corresponding drive and protection circuits into a single, compact package to simplify motor control and other power applications.
Manufacturing at the company's pilot line began in April this year.
“This is a one-of-its-kind module, with 17 dies inside, six IGBTs, two controller ICs (integrated circuit), six FRDs (fast recovery diode) and three diodes, placing it among the most advanced in this domain. German chip company Infineon remains a market leader in this segment,” said Raghu Panicker, CEO, Kaynes Semicon.
“Companies generally think of doing single die packaging. We delivered a multi-chip module. This is a complex chip that we assembled, tested for quality, marked and packaged for AOS, and rolled out from our Sanand OSAT. We have a capacity to do 3,000 pieces per day. We will send another shipment next month,” he said.
AOS could not be reached for a comment.
A single die package contains all components on one silicon die, while a multi-die package integrates multiple smaller dies, or “chiplets”, within a single package. Multi-die packaging allows designers to mix and match different technologies and fabrication processes, leading to benefits like higher yields, faster time-to-market, improved modularity, and the ability to create more powerful and customised products than what is possible with a single large die.
“This points to Kaynes not taking baby steps with basic packaging but jumping on to commercially shipping more complex and highly integrated modules following advanced packaging, assembly and testing,” said Neil Shah, a technology industry analyst and partner at Counterpoint Research.
These IPMs go into high-power as well as critical applications from electric vehicles (EVs) to renewable energy that warrants high reliability and safety standards, he said.
Tieup with global players
“So manufacturing at scale for such a single, compact, high-performance module with a complex integration of power semiconductors (IGBTs/MOSFETs) with control and protection circuits (controller ICs and gate drivers) is a commendable feat validating that Kaynes is ready to partner with global players such as AOS, Infineon and others in these segments,” Shah added.
MOSFET stands for metal oxide semiconductor field-effect transistor.
This puts Kaynes almost closer to successful global integrated device manufacturers (IDMs) and other OSAT players, he said, adding, “Though, scaling this beyond one product and one customer consistently with right yields, quality and efficiency is something Kaynes will have to prove going forward.”
Kaynes' facility in Gujarat is designed to reach a total capacity of 6.3 million chips per day once fully operational. This delivery marks the start of the commercial production for AOS, with full mass production aimed for January 2026. AOS is expected to utilise most of the initial capacity, with production ramping up to about 1.5 million chips per day by Q1 2026-27. According to agreement, the company is required to provide 10 million chips annually to AOS for five years.
Out of the Rs 3,307 crore investment required for the OSAT unit, 50% (Rs 1,653.5 crore) will come from the Centre, 20% (Rs 661.4 crore) from the Gujarat government, and rest Rs 992.1 crore will be made by the company. So far, Kaynes has committed around Rs 400 crore to the facility.
In September last year, the Mysuru-headquartered firm became the fourth company in India to receive government approval for setting up an OSAT. Others include Micron, Tata Semiconductor Assembly and Test, CG Power, HCL-Foxconn, 3D Glass Solutions, ASIP Technologies, and CDIL.
Founded in 2008, Kaynes Technology is a listed Indian electronics manufacturing services (EMS) provider with capabilities spanning design-led manufacturing, IoT solutions, and integrated electronics systems. Its semiconductor subsidiary, Kaynes Semicon, is seen as a key pillar of the company's strategy to align with India's semiconductor mission.
Source: EconomicTimes
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