The semiconductor race is on—and the whole world is watching. Increasingly countries are doubling down on chip production, design innovation, and talent development to secure their place in the global tech future. Be it AI or IoT, semiconductor chips power them all. However, while demand continues to soar, a major bottleneck remains: skilled talent.

The lack of skilled professionals in chip design, fabrication, and testing poses a significant risk to the industry's ability to scale, innovate, and maintain supply chain resilience. Without focussed initiatives, the countries risk falling behind - making it a priority for economies looking to strengthen their semiconductor ecosystems.

The Talent Gap: Shortfall in Semiconductor Expertise

The gap between demand and available semiconductor talent is growing wider each year. As per a report by Deloitte, by 2030, there will be a requirement of over a million semiconductor professionals globally, meaning more than 100,000 recruits annually. Another report by Capleo Global highlights that the competition for skilled workers is heating up as companies recognize the critical role chips play in future growth. Hence, without a steady pipeline of trained professionals, the industry cannot sustain momentum.

There also exists a fundamental disconnect between what academic institutions teach and what the semiconductor industry requires. Indian engineering programs often emphasize theoretical knowledge without providing sufficient hands-on experience with industry-standard tools and technologies. Many faculty members lack recent industry experience in semiconductor manufacturing, design, or testing, making it difficult to impart practical skills. Very few Indian universities are equipped with the necessary cleanroom facilities, fabrication equipment, or design software to offer students realistic semiconductor fabrication experience. As a result, graduates from top engineering programs often require extensive retraining when they enter the workforce, slowing India's ability to scale its semiconductor talent pool.

How Training and Capacity Building Can Bridge the Gap

India's fast growing semiconductor market, valued at $23.2 billion, is projected to reach $100 billion by 2028, expanding at a CAGR of 17.10%. This growth rate is expected to increase employment opportunities by 1.2 million in the sector. An in-depth study on annual demand across flagging sectors indicates a need for almost 1.2 million skilled workers in India, 2,75,000 of whom are needed in chip design only.

The shortage can be addressed through successful development programs focusing on onboarding new workers and upskilling the current workers. One fundamental approach to this is building partnerships and connections between universities and private sector partners. Deeper collaboration between industry players and educational institutions is essential. Through focused training programs in areas such as SoC Design, AI chips, and semiconductor fabrication, industry can ensure that talent is developed and is best suited to meet the industry demands. Significant investment in university semiconductor facilities will also support the ecosystem. Additionally, creating programs that are responsive to market demands, coupled with providing tangible work experience via internships and research opportunities, will help students be more prepared for employment. These partnerships are also essential in sustaining the development of a long-term talent pipeline.

The Road Forward

The future of the semiconductor sector's success is contingent on building and developing a capable workforce while continuing to innovate. As the future of semiconductor manufacturing and growth opportunities continue to arise, companies must build capabilities that diversify beyond traditional manufacturing approaches. Educational programs can only stay relevant if they continue to adapt to the changing technological industry context and the physical integration of hardware and software expertise and systems integration.

To sum up, addressing the talent gap is not just a need; it is a shared obligation. By funding a robust training pipeline across all segments of the ecosystem, our workforce can be properly equipped to move the industry forward.

(The author is Co-founder & CEO of Mindgrove Technologies)