India’s technology sector is undergoing rapid transformation, fueled by both the widespread adoption of AI-assisted coding tools and pivotal advancements in semiconductor manufacturing. Tech leaders across the country are not only embracing artificial intelligence to improve productivity but also addressing critical questions of governance and accountability. At the same time, initiatives led by global players like GlobalFoundries are accelerating India’s journey to becoming a global semiconductor hub.

AI-Assisted Coding Gains Universal Adoption

A recent survey of Indian technology leaders revealed near-universal adoption of AI-assisted coding platforms. Every surveyed leader reported using AI-based development tools either personally or within their organizations. Among developers:

• 94% use AI tools daily for development tasks
• 72% reported productivity improvements
• 98% subject AI-generated code to peer review before production deployment
• 28% raised concerns about over-reliance and accountability

The strong emphasis on governance illustrates that while developers are gaining efficiency, responsible integration is seen as essential. Peer reviews and collaborative oversight remain critical safeguards, ensuring AI-generated code meets enterprise and security standards.

Industry experts note that the rise of AI-assisted coding is transforming developer roles. Rather than replacing software engineers, these tools serve as productivity multipliers, enabling engineers to focus on strategy, architecture, and risk management.

Ask Aime: The Future of AI in Software Engineering

AI-assisted coding is expected to redefine the software development lifecycle in the coming years. By automating routine coding tasks and accelerating prototyping, AI tools reduce time-to-market significantly. However, ethical governance, transparency, and human oversight will be crucial to building scalable and trustworthy systems.

Tech leaders believe that the biggest challenge lies not in adoption, but in balancing innovation with responsibility—ensuring that productivity gains do not come at the cost of security or accountability.

GlobalFoundries Strengthens India’s Semiconductor Push

In parallel with AI adoption, India continues to scale its semiconductor ambitions. At Semicon India 2025, GlobalFoundries announced expanded support for local firms under the government’s Design Linked Incentive (DLI) scheme. Through its India Foundry Connect program, the semiconductor giant will provide:

• Access to process design kits (PDKs)
• Multi-project wafer (MPW) fabrication services
• Intellectual property (IP) resources
• Expert engineering support for approved firms

This initiative aims to smooth the transition from design to manufacturing, a critical step for indigenous chipmakers in commercializing their innovations.

India’s Growing Semiconductor Ecosystem

India’s semiconductor sector is receiving global attention, driven by favorable policy frameworks and rising investment commitments. Highlights include:

• Prime Minister Narendra Modi’s pitch at the Semicon 2025 summit, showcasing India as a top global destination for chip manufacturing and design.
• A robust government model that accelerates approvals through single-window clearance.
• Strong focus on R&D and innovation-led growth, supported by both public and private initiatives.
• 10 operational semiconductor and packaging units in the country, with $18 billion already invested.
• A newly launched $1 billion India Deeptech Alliance (IDTA) fund, dedicated to accelerating private investment in advanced technologies, including semiconductors.

With delegates from 33 countries and more than 50 global CXOs in attendance at the summit, India’s semiconductor roadmap continues to attract international interest and commitments.

The Road Ahead: AI + Semiconductors as Dual Engines of Growth

The confluence of AI-driven software development and semiconductor innovation is positioning India at the forefront of technological advancement. AI-assisted coding is boosting software productivity while establishing new governance frameworks, and the semiconductor sector is laying the hardware foundation for future innovations.

Together, these shifts signal India’s emergence not just as a user of global technology, but as a global technology creator and exporter. With skilled talent, government initiatives, and industry partnerships, India is charting its path to becoming a leader in the digital economy of the future.

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