The falling through of the Vedanta-Foxconn semi-conductor venture isn’t the first instance of the Indian firm made to exit a big project.
We may recall that many years ago, the Church of England sold its £3.8m stake in Vedanta Resources over concerns about its human rights record.
Although the recent split with Foxconn is deemed a huge setback, it could be, as they say, a blessing in disguise.
Even as Foxconn is pursuing its own venture, Vedanta is lining up two semiconductor projects.
During their 58th General meeting held, Vedanta chairman Anil Agarwal said, “We have lined up partners for our semiconductor venture. These ventures will enable our youth to access affordable electronic devices, all of which will help them fulfil their aspirations.”
Further, a report claimed that Micron, one of the world’s largest semiconductor companies, will build a new assembly and test facility in Gujarat for a $2.75 billion investment. “Semiconductor is today’s oil. We are chip takers, and we will become chip makers and this will change our country,” Agarwal was quoted as saying in an interview.
Earlier, Vedanta also announced the acquisition of the semiconductor and display business from Twin Star Technologies Ltd, an entity of Volcan Investments Ltd.
Micron is concerned an alternative to Foxconn for Vedanta, considering the company’s technological pedigree.
The report adds that Micron will invest $825 million. The government will finance the rest in two phases.
“Vedanta is committed to making India self-reliant in electronics. This is the beginning of the creation of a Silicon Valley in India, a cutting-edge and world-class electronics ecosystem. My dream is for every Indian youth to have an affordable smartphone, laptop and an electric vehicle,” Agarwal said in a statement.