India, July 20 -- Provisions under Semicon 2.0 to provide incentives to Indian chip-making firms against equity are expected to drive large-scale investment required for the development of advanced chips for technology such as artificial intelligence, a senior Government official has said.

Under Semicon 2.0, which has a budget of Rs 1.27 lakh crore, the Central Government has prioritised chip design by Indian companies.

In an interview to PTI on Saturday, Ministry of Electronics and IT Secretary S Krishnan said advance chip design may need thousands of crores of investments.

"We intend to provide more funding. Otherwise, under the design-linked incentive scheme, you get only about Rs 15 crore. Now, to design high-end chips you need Rs ...