New Delhi, Aug. 19 -- The government could use its buying power and national security requirements to create a market for India-designed semiconductor processors, potentially becoming an anchor customer for startups that are struggling to find commercial clients, a senior government official told Mint on Tuesday.

The official cited CCTV cameras as an example, where security concerns over foreign equipment have created an opportunity for India-designed chips.

"We never intended that the measures we originally took on CCTV cameras, which were oriented towards security requirements, would create a market for India-designed chips for CCTV cameras, but it ended up creating those conditions," said the official, requesting anonymity since disc...