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Hyderabad, Feb. 6 The Indian Semiconductor Association (ISA) and Ernst & Young benchmarking study - India in the Global Semiconductor Design Ecosystem, rates India as the best among peer countries in terms of talent that can help in scalability.

The report suggested that the pace of improvement of infrastructure needs to be hastened which would make India truly world class. India is poised to play a leading role in the global semiconductor design ecosystem and has the necessary strengths to take on this mantle.

The Director of Ernst & Young, Mr Sunil Bhumralkar, said India's semiconductor design sector has witnessed a rapid growth in the recent years mainly owning to the availability of talent and its cost advantage, which are India's core strengths.

However, it is crucial to improve talent quality to maintain cost competitiveness and to sustain the growth of the sector.

A significant part of the study focussed on talent and infrastructure areas and the enabling environment. The report noted that there was increasing focus on Intellectual Property Regime (IPR) and in reduction in delays for registration of IP in India. The IP scenario in India is much better than some of the competing countries.

Significantly, industry players surveyed rated India high on several factors including market potential, design work, business environment and advantages of operational costs.

While the electronics production in India is expected to grow rapidly, it would still be moderate in size in comparison with countries such as China, the US and Taiwan. This would translate into a moderate market for semiconductors.

However, the maturity of the design sector is indicative of the ability to conceptualise products and solutions and undertake high-end design work.

Though high quality of infrastructure is not a key issue when it comes to semiconductor design sector as it is for manufacturing, India is rated low, and needs to improve further.

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