Kaynes Technology will invest ₹2,800 crore to set up a semiconductor OSAT (Outsourced Semiconductor Assembly and Test) and compound semiconductor facility at Kongara Kalan near Hyderabad. The facility, which will come up near Foxconn’s upcoming facility, will provide employment to 2,000 people.
The decision was announced after a meeting between Telangana IT and Industries Minister K T Rama Rao and Ramesh Kannan (Managing Director) and Savitha Ramesh (Chairperson) of Kaynes Technology here on Friday.
With this investment, the 30-year-old homegrown electronics contract manufacturing services company is expanding into OSAT/ ATMP (Assembly, Test, Mark, and Pack) services through its subsidiary Kaynes Semicon.
Customer support
Kaynes Semicon would support customers worldwide in QFN (Quad Flat No-leads Package), SOT (Small Outline Transistor), TO (Transistor Outline), BGA (Ball Grid Array), FC BGA (Flip-Chip Ball Grid Array) kind of packages for power devices in the first three years, a government official said.
“Kaynes Semicon is also setting up a research and development centre for package research in collaboration with IIT Bombay,” he said.
“Telangana is committed towards developing a semiconductor ecosystem in the State. We welcome Kaynes’ decision to set up the facility in Hyderabad. The proposed investment by Kaynes will be a strategic investment for Telangana and will help the State build a strong semiconductor ecosystem,” K T Rama Rao said in a statement here on Friday.
Savitha Ramesh said the proposed facility will be “a world-class plant with state-of-the-art technology and machinery”.