Tata Electronics, a global enterprise headquartered in India, and Intel Corporation, a US-based manufacturer of advanced semiconductors, have announced a strategic alliance to explore manufacturing and packaging of Intel products for the Indian Market at Tata’s upcoming Fab and OSAT plants. As part of the same MoU, the partnership between the companies also intends to scale up tailored AI PC solutions for consumer and enterprise markets in India. The AI PC market is expected to be one of the Global top 5 markets by 2030.
But what exactly is an AI PC?
An AI PC is a computer with a dedicated Neural Processing Unit (NPU) that renders unflinching reliability and speed to the AI processes over a PC. Such PCs can run large AI models locally as they are not heavily dependent on the cloud for functioning.
What is a Neural Processing Unit (NPU)?
A Neural Processing Unit (NPU) is a low-power yet dedicated chip installed only for AI/ML workloads. It consumes 10-20 percent less power as compared to conventional GPUs. It can efficiently handle everything from real-time language translation and speech-to-text to advanced vision tasks, and even the functions of a personal AI assistant.
Enhanced Security & Privacy
In Such PCs, local NPU-based AI execution ensures that private data remains on the system, minimizing cloud dependency and elevating overall security and confidentiality. It also excels in managing system resources intelligently for better performance and battery life.
Intel-Tata Collaboration
This collaboration would leverage Intel’s AI compute reference designs, Tata Electronics’ industry-leading Electronics Manufacturing Services (EMS) capabilities, and broad access to the Indian market through Tata Group companies. This collaboration marks a pivotal step towards developing an India-based geo-resilient electronics and semiconductor supply chain.
N Chandrasekaran, Chairman, Tata Sons, said, “The Tata Group is deeply committed to developing a robust semiconductor industry in India. We are excited to collaborate with Intel, and this strategic alliance would accelerate our efforts. Together, we will drive an expanded technology ecosystem and deliver leading semiconductors and systems solutions, positioning us well to capture the large and growing AI opportunity.”

