India's backend semiconductor manufacturers are benefiting from a narrow window of materials comfort that is closely tied to the use of legacy packaging technologies.

US-based semiconductor process control and process-enabling technology leader KLA Corporation has inaugurated a new INR3 billion (approx. US$36 million) R&D and Innovation Hub in Chennai, marking a major expansion of its operations in India. The 311,000-square-foot facility is designed to accommodate up to 1,300 employees and will strengthen KLA's software engineering, artificial intelligence (AI), and process control capabilities.

LG Electronics India Limited said it has concluded an Advance Pricing Agreement (APA) with India's Central Board of Direct Taxes (CBDT), bringing closure to long-standing transfer pricing disputes and significantly reducing historical tax-related uncertainties. The agreement was signed on January 5, 2026, and covers nine years from April 1, 2014, to March 31, 2023, following an application originally filed on March 29, 2018.

The Indian government has announced a major relaxation in eligibility norms for deep-tech startups, removing the mandatory three-year existence requirement for recognition under the Department of Scientific and Industrial Research (DSIR). The move was unveiled on January 4, 2026, during celebrations marking the 42nd Foundation Day of DSIR, under the Ministry of Science and Technology.

India's Ministry of Electronics and Information Technology (MeitY) has approved an additional 22 proposals under the Electronics Components Manufacturing Scheme (ECMS), marking a significant expansion of the country's push to expand electronics manufacturing. The newly cleared projects involve a projected investment of INR418/63 billion and an estimated production of INR2,581.52 billion, and are expected to generate 33,791 direct jobs.