Semiconductor packaging. (Representational image).
Paras Defence Launches Paras Semiconductor for Defence Chip Packaging: Mumbai, January 21: Paras Defence and Space Technologies Ltd has announced a strategic foray into the semiconductor sector with the launch of a new subsidiary, Paras Semiconductor Pvt. Ltd, marking a significant expansion into advanced and critical technologies.
The new subsidiary will focus on advanced semiconductor packaging and assembly for defence and strategic electronics. As part of the initiative, Paras Defence plans to establish India’s first advanced heterogeneous and 3D packaging outsourced semiconductor assembly and test (OSAT) facility, aimed at supporting the country’s fast-evolving defence electronics ecosystem.
According to the company, the proposed facility will specialise in semiconductor devices for optical and optronic systems used in defence and security, as well as high-performance computing, networking and data centre applications. The company intends to develop the facility into a domestic hub for chiplet integration and advanced system-in-package (SiP) technologies.
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Advanced semiconductor packaging has emerged as a critical link between chip fabrication and end-use systems, enabling the shift away from large, monolithic chips towards highly customised, energy-efficient and high-performance architectures. While India has made progress in semiconductor design and policy support for fabrication, domestic capabilities in advanced packaging—particularly for high-reliability defence applications—remain limited.
Paras Semiconductor aims to address this gap by building indigenous capabilities in packaging, testing and qualification for strategic electronics. The initiative is envisioned as a long-term platform aligned with national priorities for defence, secure computing and self-reliance in critical technologies.
Munjal Sharad Shah, Managing Director of Paras Defence and Space Technologies Ltd, said the semiconductor sector has become strategically vital in the current global environment. “Advanced packaging plays a critical role in ensuring performance, reliability and supply chain control for sensitive applications. With Paras Semiconductor, we intend to build capability in an area that complements our existing strengths in defence electronics and aligns with India’s broader push to develop a resilient and self-reliant semiconductor ecosystem,” he said.
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Semiconductor packaging. (Representational image).
The company said the initiative is also expected to contribute to skill development and employment generation, supporting the broader semiconductor manufacturing, testing and allied engineering ecosystem in the country.
Globally, the semiconductor industry is undergoing a structural shift towards system-level integration, where multiple chips are packaged together to deliver higher performance, lower power consumption and improved reliability. Technologies such as chiplets, hybrid bonding, 2.5D and 3D heterogeneous integration, wafer- and panel-level fan-out, fine-pitch interconnects and co-packaged optics are increasingly central to advanced defence and computing platforms.
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Advanced packaging has become critical for applications including high-performance computing, secure communications, radar systems and electronic warfare. However, global supply remains concentrated in a few geographies, raising concerns over supply chain resilience. Trade restrictions, export controls and geopolitical uncertainties have further highlighted the risks of over-dependence on overseas semiconductor infrastructure for defence and strategic sectors.
Against this backdrop, governments worldwide, including India, are encouraging local manufacturing and trusted supply chains through policy support and incentives. Advanced semiconductor packaging is now being viewed as a strategic national capability, rather than merely a manufacturing function, the company said.