India roundup: India's semiconductor ambitions expand from AI power management to supply-chain localization

India’s push beyond electronics assembly into AI-driven power semiconductors triggers cascading effects: surging domestic foundry demand, accelerated localization of EDA toolchains, and a rebuild of automotive-grade chip validation frameworks. Yet its self-reliance agenda carries hidden costs—excessive subsidies risk WTO scrutiny, while the absence of a mature IP ecosystem could inflate R&D expenses by over 30%. In response, TSMC may delay Indian fabs to prioritize Arizona and Japan, while China leverages mature-node equipment exports for market access. If India fails to close the design-manufacturing-packaging loop within 18 months, its semiconductor ambition risks becoming 'Assembly 2.0'—a superficial upgrade masking persistent mid-value entrapment.