Uttar Pradesh has identified semiconductors as a cornerstone of its future industrial growth and made the sector a clear strategic priority. The state has rolled out focused policies to strengthen electronics, system design and manufacturing, with the aim of building the entire value chain within the state – from design and fabrication to testing. Working in sync with the Centre’s India Semiconductor Mission, the state is focusing on land availability, world-class infrastructure, fast-track approvals and access to skilled talent. Established electronics manufacturing clusters in Noida and Greater Noida give the state a natural edge in attracting semiconductor investments.
Earlier this month, the state cabinet approved a set of targeted incentives for semiconductor companies willing to commit capital investments of ₹3,000 crore or more in the state. The policy framework, aimed at bolstering manufacturing and high-technology production, includes interest subsidies, employee cost support, 10-year GST exemptions, power tariff reliefs, and workforce-linked incentives – all designed to reduce operating costs and improve long-term project viability.
Yamuna Expressway set to be job hub
“A major milestone is the upcoming OSAT unit by HCL and Foxconn in the Yamuna Expressway Industrial Development Authority area,” said Anurag Yadav, principal secretary, IT & electronics. “As the semiconductor ecosystem expands, the Yamuna Expressway region is rapidly emerging as a new employment hub, with the project expected to create large-scale direct and indirect jobs across engineering, technical, production, quality control and management roles,” he told FE.
Yadav feels the new incentive package goes well beyond financial support. “Time-bound approvals through a single-window system, availability of ready-to-use industrial land and strong supply-chain connectivity further differentiate Uttar Pradesh from competing states. In addition, the state’s large domestic market and its position as the gateway to North India make it an attractive destination for scale-driven investments.
Beyond semiconductors, the state is steadily transitioning towards a technology- and innovation-led economy. For GCCs and data centre companies, it offers a supportive policy framework, reliable power supply, high-speed connectivity and access to a large talent pool. Under the IT and ITES policy, GCCs are being encouraged to set up operations focused on research, design, analytics and engineering services. At the same time, the data centre policy is attracting investments in hyperscale and edge data centres, with a strong emphasis on green energy and sustainability.
“Uttar Pradesh has always been at the core of our business and vision,” said JB Park, president and CEO, Samsung Southwest Asia. “It is driven by our world-class manufacturing plant in Noida and our advanced R&D and design centres that develop cutting-edge solutions for millions worldwide.”
Why Yotta Data Services chose Greater nOIDA
Sunil Gupta, co-founder, CEO & MD, Yotta Data Services, said, the strong incentives around capital support, power availability, land facilitation, and streamlined administrative processes give long-term investors the confidence to commit at scale. “Our decision to build Yotta Data Centre Park in Greater Noida was to leverage this ecosystem. The region offers excellent proximity to the NCR demand corridor, robust power and fibre infrastructure, and the ability to scale hyperscale, AI-ready facilities efficiently. Equally important was the proactive support from the UP government, which ensured speed, predictability, and alignment with our long-term growth plans,” he added.
Yadav revealed that Noida and Greater Noida are already well established as the state’s leading technology and electronics hubs, anchoring strong growth in semiconductors, electronics manufacturing and GCC investments. At the same time, Lucknow is being positioned as an emerging AI and IT centre, with recent investments by global players such as IBM and Genpact opening new offices in the city, reflecting growing industry confidence to look beyond Noida for high-quality talent and scalable operations. Kanpur is being repositioned as a hub for advanced manufacturing and innovation-led industries, while cities such as Varanasi and Prayagraj are being promoted for knowledge-based services and startup ecosystems. “This multi-city strategy ensures investments are distributed across the state, enabling balanced and inclusive growth,” he added.