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Kaynes Technology to Invest Rs 2800 Crores in Telangana’s Semiconductor Assembly & Test Facility

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  • Telangana is poised to host a Semiconductor OSAT and Compound Semiconductor facility by Kaynes Technology.
  • Kaynes Technology’s proposed facility will involve an investment of INR 2,800 Crores.
  • The unit is expected to create direct employment for over 2,000 people.
  • The proposed facility will be located in Kongara Kalan.

The Minister for ITE&C and Industries of the Government of Telangana, K T Rama Rao, met with Mr. Ramesh Kannan, Managing Director of Kaynes, and Mrs. Savitha Ramesh, Chairperson of Kaynes, to announce the establishment of the Kaynes’ facility in Telangana. The proposed facility will be located in Kongara Kalan, adjacent to the upcoming electronics manufacturing facility of Foxconn.

Kaynes Technology India Limited is a prominent player in the Electronics Contract Manufacturing Services sector with a global presence. Kaynes Technology is venturing into OSAT/ATMP (Outsourced Semiconductor Assembly and Test/Advanced Test Manufacturing Process) services under its subsidiary Kaynes Semicon. In the first three years, Kaynes Semicon will provide support to customers worldwide for power devices, including QFN, SOT, TO, BGA, and FC BGA type packages. Additionally, Kaynes Semicon is establishing a state-of-the-art R&D center for package research in collaboration with IIT Bombay.

About Semiconductor Package Styles

The terms “QFN,” “SOT,” “TO,” “BGA,” and “FC BGA” refer to different types of semiconductor package styles used to house integrated circuits (ICs) or semiconductor devices. Each package style has its own design and characteristics suited for specific applications.

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  1. QFN (Quad Flat No-Lead): Compact rectangular packages with no external leads, using exposed metal pads on the bottom for connections. Known for small size and good thermal performance, suitable for surface-mount assembly.
  2. SOT (Small Outline Transistor): Typically used for discrete semiconductor devices like transistors and diodes, with two or three leads extending from one side for soldering.
  3. TO (Transistor Outline): Metal cans for housing discrete components, often used for high-power devices with a heat sink tab on the bottom.
  4. BGA (Ball Grid Array): Features a grid of solder balls on the bottom for electrical connections, known for excellent thermal performance and high pin count.
  5. FC BGA (Fine-Pitch BGA): A high-pin-count variation of BGA with solder balls placed closer together, ideal for high-performance microprocessors and ICs.

What do OSAT Companies do?

OSAT stands for Outsourced Semiconductor Assembly and Test. Key functions of OSAT (Outsourced Semiconductor Assembly and Test) companies:

  • Assembly
  • Testing
  • Packaging
  • Final Inspection
  • Marking and Labeling
  • Shipping and Logistics

OSAT companies play a critical role in the semiconductor supply chain by providing specialized expertise and equipment for the final stages of semiconductor manufacturing. They allow semiconductor manufacturers (fabless companies or integrated device manufacturers) to focus on chip design and fabrication, while outsourcing the assembly, testing, and packaging processes to experts in those areas. This outsourcing helps streamline production and reduce costs for semiconductor companies.

Recently Kaynes Technology announced Investment of ₹3,750 Crores in Mysuru’s Semiconductor Assembly and Test Facility. In the first phase, they will be investing Rs. 1382 Crores at the Kochanahalli Electronic cluster in Mysore.

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