The government of India has approved the construction of the country’s first factory making miniLED and microLED display modules in Dholera, Gujarat.
The planned facility, which will be set up by Hyderabad-based Crystal Matrix Ltd, will have an annual production capacity equivalent to 72,000 sq metres of display panels.
The Crystal Matrix Ltd facility, which will cost ₹3,068 crore (approximately $336m), is being hailed as important by observers because it is not just an LED display assembly line.
“India is not buying this technology. It is building it, which, of course, is a very proud moment,” said Sudhi Sachdev, an anchor on AIM Network, an Indian tech media video channel.
However, Indian business media publications, such as Business Today, Angel One and Business Today India, have noted that Crystal Matrix is as yet a small company, with a limited balance sheet and no existing fabrication infrastructure.
The new Crystal Matrix Ltd factory will include upstream semiconductor processing, allowing the company to handle critical steps in creating the gallium nitride (GaN) LEDs that underpin high-end miniLED and microLED displays. This gives the facility the capabilities needed to support tighter quality control, better performance, and a more resilient supply chain. The facility will also act as a GaN “foundry”, offering contract manufacturing services to other customers.
An Indian government announcement says the factory is not just intended for pro AV use cases. In addition to commercial and digital signage displays, it can also provide modules for TVs, tablets, smartphones, in-car displays, XR glasses and smartwatches.
The Indian Union Government’s minister of electronics and IT, Ashwini Vaishnaw, has said the first microLED screens will roll out of the factory in 22 months.
The announcement of approval for the Crystal Matrix factory comes as the Indian LED display manufacturing sector is achieving prominence more widely. Earlier this month, UK-based LEDsynergy said it was shifting production of its core LED display range to LEDX Technology’s fully automated factory in Gujarat, citing cost pressures and the need to stay competitive without compromising quality.
Digital Signage consultancy invidis, co-organiser of Digital Signage Summit, recently reported that India is emerging as a strong contender to become a global hub for LED display manufacturing. However, the consultancy notes that India still lacks the deep supplier ecosystem needed to compete with China. Building domestic component supply chains could take another two to five years, according to the invidis analysis.
