Article series: KCM Lens

The Trillion-Dollar Decade

In 2024, global semiconductor revenues hit US$627.6 billion, driven by demand from AI, datacenter spending, memory and advanced logic chips. The industry is on track to top roughly US$700 billion in 2025, with analysts expecting it to surpass US$1 trillion by 2030 as fabs and capacity expansion scale up globally — manufacturers plan roughly US$1 trillion of investment in new plants through this decade.

Semiconductor Family

Based on their functions, semiconductor chips are broadly classified into Analog (processing continuous signals like sound, light, or temperature) and Digital (processing binary logic for computation and storage). Digital semiconductors include memory (DRAM and NAND), logic chips (CPUs, GPUs, ASICs, FPGAs), and System-on-Chips (SoCs) that combine multiple functions into a single package.

Chip Design: From Concept to Silicon

This volume traces the complete design lifecycle through front-end design (specification, RTL coding, functional verification, logic synthesis, static timing analysis) and back-end design (floorplanning, placement, clock tree synthesis, routing, physical verification, and mask generation). The publication uses an intuitive house-building analogy to explain each step.

Architectures: x86, ARM, and RISC-V

Three major chip architectures dominate: x86 (developed by Intel, dominant in desktops/laptops), ARM (licensed RISC-based IP, dominant in smartphones, now expanding to PCs via Apple), and RISC-V (open-source architecture offering complete design flexibility, with accelerating adoption).

EDA Tools & Semiconductor IP

Electronic Design Automation tools — the invisible engine that turns chip blueprints into reality — are dominated by the “Big Three” (Synopsys, Cadence, Siemens EDA) holding over 85% market share. Semiconductor IP blocks serve as pre-designed, pre-verified reusable building blocks that save development time, reduce risk, and accelerate time-to-market.

Overview

Volume 3 completes the EV Series by examining battery recycling — the segment that closes the circular economy loop for electric vehicles. As the first wave of EV batteries approaches end-of-life, recycling has become both an environmental imperative and a significant commercial opportunity, enabling recovery of critical materials like lithium, cobalt, nickel, and manganese.

This edition covers recycling technologies (hydrometallurgical, pyrometallurgical, direct recycling), the economics of battery recycling, regulatory frameworks driving Extended Producer Responsibility, key players globally and in India, and strategic investment perspectives.

Overview

Volume 2 of the EV Series shifts focus from OEMs to the battery and cell manufacturing segment — widely regarded as the most strategically important part of the EV value chain. Batteries represent 30-40% of an EV’s total cost, making manufacturing capability in this segment a critical competitive advantage.

This edition examines the technology landscape, key players (global and Indian), supply chain dynamics, government incentives driving domestic manufacturing, and KCM’s strategic takeaways on the sector’s investment and regulatory outlook.

India’s EV Market

India’s automotive sector is expected to cross ₹24.9 lakh crore (US$300 billion) by 2030, contributing over 7.1% to GDP. EV sales have grown at a CAGR of 22.4% from FY18 to FY24, with 16.7 lakh EVs sold in FY24. However, EVs still represent only 6.38% of India’s total auto sales, indicating tremendous growth potential.

Competitive Landscape

In the two-wheeler EV market, Ola Electric dominates with 35% market share, followed by TVS (19%) and Ather (12%). Ola’s success came from investment in technology, product positioning, and creating an EV ecosystem. In four-wheelers, Tata Motors leads as the classic first-mover. The publication provides detailed competitor benchmarking on price ranges, driving range, battery capacity, R&D spend, and manufacturing capacity.

Growth Drivers

Four key factors will drive EV growth: technological advancements in battery technology (energy density, cost reduction, charging speeds), infrastructure development (fast-charging networks, home charging), government policies and incentives, and supply chain localisation to reduce dependency on foreign suppliers.

Regulatory Framework & Government Support

The publication covers the complete regulatory landscape and government incentive schemes supporting EV adoption in India, including FAME II, PLI schemes, and state-level policies.