Zoho Applies For License For $200 Mn Semiconductor Plant In India

Chennai-based Zoho Corp has applied for a license to build a compound semiconductor fabrication plant, investing $200 million. 

CEO Sridhar Vembu stated they await government clearance and will announce formally once approved. 

The project aims to manufacture Silicon Carbide (SiC) chips in Tamil Nadu, licensing technology from Scotland’s Clas-SiC. 

Zoho is the third company to apply for such a license in India.

Government Support:

The Indian government offers subsidies for compound semiconductor fabs, covering 50% of capital expenditure if applicants meet specific criteria. 

This support is part of a broader program to develop India’s semiconductor and display manufacturing ecosystem. 

Silicon carbide chips are crucial for electric vehicles (EVs). 

Zoho's initiatives align with India's push for advanced technology and manufacturing capabilities.

Zoho’s CRM Revamp:

Alongside its semiconductor plans, Zoho announced updates to its CRM software, Zoho CRM, in response to slower growth in the US market. 

The updates feature AI-powered analytics and support for open-source AI models. 

Despite global CRM market growth, Zoho aims to compete with giants like Salesforce and Microsoft.

Data Security:

Zoho integrates AI tools contextually rather than broadly, focusing on data security. 

Clients can integrate open-source AI models and build custom generative AI solutions. 

Zoho emphasises customer data privacy, using it solely for client purposes without monetisation. 

The company is also developing AI security models, with around 1,000 employees working on this feature, ensuring robust data protection for its clients.