India produces around 1.5 million engineering graduates annually, creating a robust foundation for technological innovation by consistently churning out high-quality talented professionals.
Renowned institutions like the Indian Institutes of Technology (IITs) and the National Institutes of Technology (NITs) are central to this ecosystem. As of now, the country’s semiconductor industry is in a transformative phase, driven by the skilled talent pool. However, things may not be as rosy as they appear.
Although the country prides itself on the mass quantity and quality of its talent, experts are worried about the gaps in specialised skills that need attention. The talent base needs to be strengthened further to sync with the requirements of global tech giants.
In an interview with AIM, Ankit Anand, founding partner at Riceberg Ventures, summed up the issue, saying, “The talent pool here is extremely limited even though IITs churn out around 10,000 engineers a year.”
Limited Talent Pool
To start with, there are very few researchers and scientists in India, particularly in advanced fields like molecular biology, quantum computing, and AI. Besides, the number of PhDs and specialised scientists remains alarmingly low, added Anand.
This disparity is compounded by India’s historical focus on an elitist education model, which emphasises exclusivity and limits the scale of institutions to produce broader pools of talent.
Adding to this issue is the lack of financial and social incentives for pursuing advanced research. “Even if you do a PhD in India, you won’t get a salary better than a BTech. So, the incentives are not aligned,” Anand emphasised. This, he said, was because there were hardly any companies in the country that needed such talent.
At the recently concluded VLSID Conference 2025, many industry leaders, such as Santhosh Kumar, MD at Texas Instruments, and Hitesh Garg, VP and India MD at NXP Semiconductors, emphasised the heavy reliance on a robust talent pipeline and a thriving startup ecosystem.
Regardless, many others pointed out the opposite—the lack of quality or proficient talent.
Chris Miller, the acclaimed author of Chip War: The Fight for the World’s Most Critical Technology, further highlighted this. He identified talent and infrastructure as two key challenges in India’s path to progress in the chip space.
In a conversation with Satya Gupta, president of the VLSI Society of India, Miller called for sustained investment in India’s talent pipeline, including both technical and business talent.
The Indian ‘Brain Drain’
A significant proportion of India’s top talent migrates abroad, attracted by better opportunities and infrastructure. This ‘brain drain’ exacerbates the shortage of highly skilled professionals required to drive deep tech advancements within the country.
With its vast population, India has the potential to produce a significantly larger number of engineers and scientists than smaller countries like Switzerland, Germany or even the United States.
These countries thrive despite their smaller local talent pools thanks to their vibrant innovation hubs. Anand highlighted that this is largely because they attract top talent from around the world and have created a quality brand for their country.
The US, for instance, didn’t rely solely on local institutions to build Silicon Valley. Instead, it created a global brand, ‘the American Dream,’ that drew skilled professionals from across the globe.
Switzerland and Germany also created a monopoly in their local products with the guarantee of ‘Swiss’ or ‘German’ quality.
India, by contrast, has yet to establish a similar pull. The country lacks the global appeal to attract international talent at scale. “We don’t have the kind of infrastructure to support this,” added Anand.
Nevertheless, There is Hope
Currently, 20% of the global semiconductor design talent comes from India, with over 35,000 engineers engaged in chip design. “I think India has a large talent base in chip design because it’s developed investment from a whole variety of international firms in India,” Miller told AIM.
Home to institutions like IIT Kanpur and IIT Roorkee, India’s tier 2 and 3 regions are the real reservoirs of untapped potential. Moreover, while local talent may exist, it is often underutilised.
Sandeep Bharathi, CDO at Marvell Technology, told AIM that the company is capitalising on its skilled workforce to drive innovation and growth and bring it closer to the goal of achieving $1 million in revenue per employee.
With a major presence in India, out of Bengaluru, Pune, and Hyderabad, Marvell leverages these tech hubs for their rich talent pools, with Bengaluru leading as a centre for tech innovation. The company has “more than doubled its Indian workforce over the last four years,” demonstrating confidence in the region’s talent.
Bharathi said the company sources its talent directly from universities, ensuring a steady pipeline of early-stage professionals through partnerships and internship programs. These internships are often converted to full-time roles, providing opportunities for young professionals to grow within the company.
In addition to organic growth, Marvell acquires companies with specialised technologies, gaining access to niche talent that strengthens its workforce in advanced domains.
Even though India offers strong capabilities in digital design, verification, and physical design, Bharathi says there are skill gaps in areas like silicon photonics, electro-optics, and advanced mixed-signal design.
He stressed the need for academia to align the curriculum with industry needs to address these gaps. The company collaborates with universities to influence course content, bridging the skill gap through improved syllabi and practical training.
While universities are introducing courses in emerging fields like quantum computing and space tech, practical exposure for students remains an area for improvement.
Govt’s Role in Driving India’s Deep-Tech Ecosystem
According to Anand, the government’s intent to support innovation is clear. “Two years ago, I could have listed many things the government needed to do, but now, they’ve made significant progress,” he said.
State governments have been continuously investing in semiconductors, launching initiatives such as the Karnataka government’s approval of ₹3,425.60 crore investment and Andhra Pradesh’s recently signed ₹14,000 crore MoU.
The central government is also stepping up its policies to foster technologies that will boost India’s semiconductor mission. However, implementing these policies effectively remains a challenge.
Anand also highlighted the importance of the government becoming a customer of innovative solutions. “If the government becomes a customer, it signals to investors that the startup can successfully sell its product at a scale, and that drives further investment.”
Even private companies are pitching in. On his recent visit to India, Michael Hurlston, CEO of Synaptics, outlined to AIM the company’s plans to double its workforce there over the next three years, increasing from 400 to 800 employees.
This expansion is driven by India’s rich pool of engineering talent. The existing talent in cities like Bengaluru and Chennai are open to quick upskilling to meet the demands of cutting-edge technology.
Additionally, companies like NXP Semiconductors, Israel’s Tower Semiconductor, Adani Group and Bartronics India Ltd are fostering India’s semiconductor industry with investments and partnerships ranging from $1-10 billion.
