According to reports, Applied Materials will be signing a Memorandum of Understanding (MoU) with the Tamil Nadu government to establish an advanced AI-enabled technology development Center of Excellence focused on semiconductor manufacturing and equipment in Taramani, Chennai.

The MoU to be signed in San Francisco in the presence of Tamil Nadu Chief Minister MK Stalin and Dr. Prabhu Raja, President of Applied Materials' Semiconductor Products Group.

“Investment in key sectors such as advanced electronics and semiconductors will help us achieve the $1 trillion economy goal by 2030. We want to make Tamil Nadu the most advanced knowledge and innovation hub in South Asia,” says Tamil Nadu Chief Minister MK Stalin.

Tamil Nadu government says that the center will work with local universities and industry partners to strengthen Tamil Nadu's semiconductor ecosystem and develop an immediate workforce to support the growth of the chip industry. As part of this effort, Applied Materials plans to expand its workforce in the state to more than 500 technical positions over the next few years.

Applied generated record revenue of $6.78 billion. On a GAAP basis, the company reported gross margin of 47.3 percent, operating income of $1.94 billion or 28.7 percent of net revenue, and earnings per share (EPS) of $2.05.

“Tamil Nadu aims to grow the semiconductor ecosystem by fostering industry partnerships, cultivating a research-oriented culture, and developing a skilled workforce. I believe this collaboration with Applied Materials will help us create the right talent and play a strong role in Tamil Nadu's journey to becoming a leading hub for semiconductor manufacturing," Industries Minister Dr. TRB Rajaa.