MiPhi Semiconductors, the Micromax and Phison Electronics joint venture, will invest ₹1,000 crore to expand AI memory chip manufacturing in India, targeting a 10x increase in enterprise SSD production and over ₹1,000 crore in revenue by FY27. MiPhi became the first Indian brand to locally manufacture advanced data storage solutions, with production facilities in Noida, Hyderabad and Bhiwadi, and is developing an AI Adaptive Memory software layer to complement its hardware business.
Semicon Hunt -> expansion -> MiPhi Semiconductors
2026-07-09
MiPhi Semiconductors Private Limited, the joint venture between Micromax Informatics Ltd and Taiwan-based Phison Electronics Corporation, has announced plans to invest ₹1,000 crore to expand its AI memory chip manufacturing operations in India, targeting a 10x increase in enterprise solid state drive production and more than ₹1,000 crore in revenue during the fiscal year ending March 2027. The announcement positions MiPhi as a significant participant in India's fast-growing data storage and AI infrastructure supply chain, coming as hyperscale data center investments accelerate across the country.
Established in 2024, MiPhi holds a Micromax majority stake of 55 percent and Phison Electronics at 45 percent. The company became the first Indian brand to locally build advanced data storage solutions, operating manufacturing sites in Noida (Uttar Pradesh), Hyderabad (Telangana) and Bhiwadi (Rajasthan). Its product portfolio covers enterprise solid state drives, embedded memory products, and storage solutions targeting cloud service providers, hyperscale data centers, automotive companies and connected device manufacturers, all high-growth segments driven by AI workload expansion.
Under the joint venture arrangement, Phison Electronics is transferring research and development capabilities and controller technologies to Indian engineering teams, giving MiPhi access to Phison's deep expertise in NAND flash controller design and enterprise SSD firmware that has made Phison one of the world's leading SSD controller suppliers. This technology transfer is one of the more substantive examples of a Taiwanese semiconductor company committing to develop genuine engineering capability in India rather than simply establishing a distribution or assembly operation.
MiPhi is also developing an AI Adaptive Memory software layer designed to optimize enterprise memory performance and reduce dependence on expensive GPU infrastructure for AI inference workloads. By tuning storage subsystem behavior for AI model loading, weight caching and inference data pipelines, MiPhi aims to differentiate its enterprise SSD products on performance rather than price alone, targeting customers who are deploying AI at scale and looking for cost-efficient alternatives to GPU-memory-heavy inference architectures.
India currently imports all of its memory and storage products, a dependency that becomes increasingly strategic as AI-driven data center buildout accelerates domestic demand. MiPhi's expansion addresses part of this gap by manufacturing enterprise SSDs locally, though India does not yet have domestic NAND flash wafer production capability. The Micron-Phison JV demonstrates how India can build memory manufacturing through technology-sharing partnerships before developing indigenous wafer supply chains.
With a revenue target exceeding ₹1,000 crore for FY2026-27, MiPhi is aiming to establish itself as a material revenue-generating semiconductor business within its second full year of operations, a timeline that would validate the joint venture model and potentially attract further capital from both Micromax and Phison for additional capacity and product line expansion in subsequent years.
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