AI is reshaping global markets: Can India's chip ecosystem keep pace?

AI is reshaping global markets: Can India's chip ecosystem keep pace?



India has slipped to seventh place in global equity market capitalisation rankings, as AI-led rallies in Taiwan and South Korea’s semiconductor stocks pushed both markets ahead. Taiwan’s market capitalisation rose to about $4.95 trillion when it overtook India, while South Korea’s has climbed above $5 trillion this year, compared with India’s $4.8 trillion, according to Bloomberg-cited data.

 


This milestone shows a critical gap in India’s semiconductor strategy as the AI economy reshapes global capital flows. As investors increasingly reward countries that control key AI infrastructure technologies, semiconductor capabilities are emerging as a major determinant of economic and market value creation.

 
 


The AI supply chain divide

 


South Korea and Taiwan have climbed market-cap rankings because they occupy critical positions in the AI supply chain, spanning semiconductors, memory chips and AI hardware. Samsung Electronics Co and SK Hynix Inc, newly minted members of the $1 trillion valuation club, have powered Korea’s equity surge.

 


India, despite being one of the world’s fastest-growing economies, remains largely an AI consumer. This distinction is becoming more important as value creation in the AI era shifts from software applications alone to the hardware and semiconductor ecosystem that powers them.

 


Easwar Rao Nandam, chief executive officer at Polymatech Electronics, said building data centres and consuming AI applications alone will not be enough. “The foundation of AI infrastructure lies in semiconductors, memory, packaging, power electronics, opto-electronics, substrates and high-reliability electronic components,” he told Business Standard.

 


Although India has created strong momentum in semiconductor policy, experts warn the next phase demands coordination and depth.

 


“Semiconductors are not an industry where speed alone can solve the problem. A fab does not operate in isolation. It needs an entire ecosystem around its specialty chemicals, gases, materials, clean water, reliable power, HVAC systems, precision equipment, trained talent, and strong process discipline,” said Rohin Y, founder and chief executive officer at LightSpeed Photonics.

 


“The focus should not only be on headline investments, but also on whether the supporting ecosystem is being built in the right sequence,” Rohin told Business Standard.

 


Can India build its own chip champions?

 


India has a strong opportunity on the demand side, especially in automotive. Vehicles are becoming increasingly electronics-heavy, whether it is electric vehicles, battery systems, charging circuits, onboard computers or AI-enabled features such as image recognition and voice interfaces.

 


“Mature and reliable nodes such as 28nm, 65nm and 90nm are highly relevant for automotive, power electronics, control systems and vehicle compute. India also has strong chip design talent. If we create local IP, manufacture it locally and drive domestic consumption through large Indian industries, we can start building real manufacturing depth,” Rohin said.

 


He further said that sectors such as automotive, mobility, energy and industrial systems can become anchor markets for locally designed and locally manufactured chips.

 


However, government caution in supporting smaller companies remains a barrier. “India must create a framework where credible mid-sized technology companies can scale under strict milestones and accountability. Otherwise, we may attract large headline investments but still remain dependent on imported components for the AI hardware stack,” Easwar Rao said.

 


The South Korea lesson for India

 


South Korea’s AI-driven market windfall is the payoff from a three-decade industrial strategy centred on semiconductors, with recent gains reflecting both investor enthusiasm around AI and long-term investments in manufacturing and supply chains.

 


For India, Rohin said the focus should be on stable governance, predictable policy and disciplined implementation.

 


Countries that have become central to the semiconductor and AI hardware supply chain did so by building patiently across multiple layers — design, manufacturing, materials, talent, infrastructure and end-market demand, he said.

 


Experts say India possesses the demand and strategic imperative to become more than just an AI consumer. “But to become an AI infrastructure producer, India needs to build with patience and depth. The real lesson is simple: ambition starts the journey, but consistency creates leadership,” Rohin said.

 


While Seoul has overtaken New Delhi in market value, India’s $4.15 trillion economy still far exceeds South Korea’s $1.93 trillion GDP. Yet the divergence highlights how the AI era is increasingly rewarding countries that control strategic technologies and critical supply chains.

 


For India, the challenge is no longer whether AI will drive growth, but whether its semiconductor ecosystem can capture a meaningful share of the value created by that growth.



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Android's June update adds scam call alerts, digital wardrobe and more

Android's June update adds scam call alerts, digital wardrobe and more


Google is rolling out the June Android Drop, bringing a mix of new safety, personalisation, and productivity features to Android users. Many of the updates were first showcased at the company’s Google I/O developer conference last month and are now making their way to supported devices. The latest release introduces scam call detection in the Phone app, expanded shopping capabilities with Circle to Search, a digital wardrobe feature in Google Photos, and easier file sharing between Android phones and iPhones. Google is also adding new safety tools for children and teenagers, along with AI-powered reading assistance in Google Play Books.

 


June Android Drop: What’s new


Fake call detection 

 


Google is introducing a new security feature that can detect when scammers attempt to impersonate someone from a user’s contact list. Available through Phone by Google on Android 12 and later devices, the feature uses encrypted RCS signals to verify whether a call is genuinely coming from a contact’s device.

 


If the verification fails and the contact’s device confirms it is not making a call, users will receive an on-screen warning that the call may be fraudulent. Google said that the feature will begin rolling out globally this month, starting with Pixel devices.

 


Google said scammers are increasingly moving beyond calls from unknown numbers and are now impersonating trusted contacts to deceive users. According to the company, fraudsters often combine caller ID spoofing, which makes a call appear to come from a familiar number, with AI-generated voice clones that can mimic family members, employers, or other trusted individuals.

 


Circle to Search can now identify entire outfits

 


Google is expanding the shopping capabilities of Circle to Search, allowing users to identify an entire outfit from a single image. The feature can recognise multiple items at once, including clothing, footwear, and accessories, making it easier to find similar products without switching between apps.

 

The capability was first introduced earlier this year on the Galaxy S26 and Pixel 10 series after Circle to Search gained support for identifying multiple objects in a single image. Google is now making the feature available more broadly on Android 14 and later devices that support Circle to Search. 

 


Google Photos’ digital wardrobe

 


Google Photos will soon gain a new wardrobe feature that automatically catalogues clothes appearing in a user’s photo library. The company said that the tool will create a digital closet, making it easier to browse outfits, save style ideas, and plan clothing combinations.

 


The rollout is scheduled to begin next week for eligible users in India, the US and Brazil running Android 10 or later.

 


New safety tools for children and teenagers

 


Google is adding more safety features to the Personal Safety app for younger users. Children under the age of 13 will be able to store medical information and emergency contacts on their phone’s lock screen, making it easier for first responders or others to access important details during an emergency. They will also be able to turn on car crash detection, which can automatically contact emergency services and notify selected contacts if an accident is detected.

 


For teenagers, Google is expanding access to features such as Safety Check and real-time location sharing. These tools allow users to share their location with trusted contacts and let family members know they have reached their destination safely. Google said the Personal Safety app is available globally.

 


Google Play Books gets AI-powered reading assistance

 


Google is adding a new feature called “Book Insights” to Play Books. Readers will be able to access summaries of previous chapters through a “Catch me up” option and ask questions about characters, themes, or context while reading. The feature is initially rolling out for select English-language titles, including thousands of free books.

 


File sharing between Android and iPhone

 


Google first introduced AirDrop-style file sharing through Quick Share on the Pixel 10 series before extending support to the Pixel 9 lineup. Samsung later became the second Android smartphone brand to offer the feature natively. With the latest update, Google is expanding support further, bringing easier cross-platform file sharing to more Android devices.

 


While the company did not specify all supported devices in its latest announcement, it previously indicated that the feature would roll out to select Android smartphones from manufacturers including Samsung, OPPO, OnePlus, and Honor.

 


Gboard’s new Emoji Kitchen combinations

 

Google is also introducing additional Emoji Kitchen combinations in Gboard. The feature allows users to combine different emojis to create custom stickers and expressions that can be shared across messaging apps. Among the examples showcased by Google were playful animal combinations and a bee emoji merged with a diamond ring emoji to create a “blinged-out” bee sticker. 

 


Availability

 


Google said that the June Android Drop features will roll out gradually over the coming weeks. Some features, such as the Google Photos wardrobe tool, will initially be limited to select countries, while others will depend on Android version and device compatibility.

 



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Microsoft's quantum push now includes AI-built chips: Majorana 2 explained

Microsoft's quantum push now includes AI-built chips: Majorana 2 explained


Microsoft has unveiled Majorana 2, its next-generation quantum chip, marking a significant step in its long-running effort to build a scalable quantum computer. Unlike conventional chip announcements, however, this one is as much about how the chip was built as what it can do.

 


According to Microsoft’s announcement, Majorana 2 is a topological quantum chip developed with the help of its Microsoft Discovery platform, which uses agentic AI systems to accelerate scientific research. The company says the chip delivers a 1,000-fold improvement in qubit reliability over its previous generation, while also cutting its roadmap to a scalable quantum computer to 2029.

 


What quantum chips are and why they matter


Quantum chips are fundamentally different from traditional processors. While classical computers use bits that represent either 0 or 1, quantum computers rely on quantum bits, or qubits, which can exist in multiple states at the same time through a phenomenon known as superposition (the ability to represent both 0 and 1 simultaneously). They can also be linked through entanglement, where the state of one qubit is directly related to another, allowing them to process complex combinations of data in parallel.


This allows quantum systems to tackle problems that are effectively impossible for classical machines, including molecular simulation, advanced materials design, and optimisation problems across industries such as energy, healthcare and finance.

 


However, quantum systems are also extremely fragile. Qubits are highly sensitive to external disturbances like heat, radiation, or electromagnetic interference, which leads to errors and limits their practical use. Much of the industry’s progress has therefore focused on improving stability and error correction, rather than just increasing raw compute power.


What makes Majorana 2 different


Microsoft’s approach to quantum computing differs from many of its peers because it focuses on topological qubits, which aim to improve stability by encoding information in the structure of the system itself, instead of relying on delicate quantum states that are prone to errors.

 


Majorana 2 builds on this by introducing a new materials stack, replacing the aluminium-based structure used in earlier designs with a lead-based superconductor (a material that can conduct electricity with zero resistance under specific conditions). According to Microsoft, this change significantly improves the chip’s ability to shield qubits from external interference.

 


The result is a significant improvement in reliability. Microsoft says the qubits in Majorana 2 can maintain their quantum state 1,000 times longer than the previous generation, with a mean lifetime of around 20 seconds and some lasting as long as one minute.

 


This is a substantial shift when compared to many quantum systems, where qubit lifetimes are typically measured in microseconds. Microsoft compares the improvement to extending a smartphone battery from a single day to nearly three years on a single charge.

 


The chip also combines this reliability with fast operation speeds and smaller qubit sizes, which the company says puts it on track toward building a commercially viable quantum system within the next few years.


How AI helped build the chip


A key part of the Majorana 2 story is the role of Microsoft Discovery, the company’s agentic AI platform for scientific research.

 


Rather than being used only for simulations or modelling, these AI agents were integrated into the development process itself. According to Microsoft, the quantum team used AI to manage workflows, automate measurements, optimise fabrication processes (the process of physically building the chip), identify hidden flaws, and propose new design approaches.


Quantum hardware development involves a large number of interconnected variables, from materials and fabrication to measurement and system design. Changes in one area can affect multiple others, making it difficult for researchers to track all dependencies manually.

 


Microsoft says its AI agents were able to process large volumes of experimental and historical data, identify patterns that humans might miss, and suggest more efficient paths forward.

 


In some cases, AI reduced the time required for experiments from weeks to significantly shorter cycles by automating measurement processes and exploring multiple configurations in parallel.

 


At the same time, the company emphasises that these systems operate with a “scientist in the loop” model, where AI provides recommendations but final decisions remain with researchers.


How it compares to Google’s Willow chip


In December 2024, Google introduced its Willow quantum chip, which demonstrated significant progress in error correction and system performance. According to Google, Willow was able to reduce errors as the number of qubits increased, achieving a key milestone known as operating “below threshold” (a point where adding more qubits actually improves reliability rather than increasing errors).

 


The company also reported that Willow completed a benchmark computation in under five minutes that would take one of the world’s fastest supercomputers an estimated 10 septillion years to perform.

 


While Google’s approach is based on superconducting qubits and focuses heavily on scaling systems and reducing errors through correction techniques, Microsoft is taking a different route with topological qubits, which aim to improve stability at the hardware level itself.

 


In Google’s case, qubits are inherently fragile and prone to errors, so the focus is on building systems that can detect and correct those errors as the number of qubits increases. Microsoft, on the other hand, is attempting to reduce the need for such correction by designing qubits that are more stable by default, encoding information in a way that is less affected by external disturbances.

 


Both approaches are aimed at solving the same core challenge: making quantum systems reliable enough for real-world use.


What this means


Majorana 2 does not represent a finished quantum computer, but it signals progress toward one. The key takeaway is not just the improvement in qubit stability, but the method behind it. By combining new materials science with agentic AI-driven research, Microsoft is attempting to accelerate a field that has historically progressed slowly due to its complexity.

 


If the company’s timeline holds, a scalable quantum system could arrive within the next few years, potentially unlocking new capabilities in scientific research, industrial design, and large-scale optimisation.



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Retro gaming is getting revived with FPGA tech? Here's what we know

Retro gaming is getting revived with FPGA tech? Here's what we know



Retro gaming enthusiasts have no shortage of ways to revisit classic titles today. Software emulators can run decades-old games on PCs, smartphones, and modern consoles, while companies continue to release hardware inspired by iconic gaming systems of the past. Now, AMD’s FPGA technology is being used for a different approach altogether, recreating retro gaming consoles at a hardware level.

 


ModRetro recently revealed its new gaming system, M64, powered by an AMD Artix 7 FPGA. It essentially allows original game cartridges and controllers to work on modern displays while preserving the experience as closely as possible to the original system.

 


What is the ModRetro M64


ModRetro M64 is a gaming console designed specifically for Nintendo 64 titles. Scheduled to launch on July 28, the device supports original Nintendo 64 cartridges and controllers while adding modern features such as HDMI connectivity and native 4K video output.

 


According to ModRetro, the M64 follows the same preservation-focused philosophy behind its earlier Chromatic handheld. Rather than functioning as a general-purpose retro gaming device, the company says the system has been built around Nintendo 64 games.

 


At the heart of the M64 is an AMD Artix 7 FPGA chip, which ModRetro says serves as the foundation for recreating Nintendo 64 hardware behaviour.


Emulators already exist. How is AMD’s FPGA approach different


Software emulators have existed for decades and remain the most common way to play classic games on modern hardware. These programs allow one device to mimic the behaviour of another through software, making it possible to run older games on PCs, smartphones, and dedicated retro gaming devices.

 


ModRetro says the M64 takes a fundamentally different approach. The company describes the system as “Not Emulation. Recreation” and says the device is designed as a hardware-level recreation of the Nintendo 64 rather than a traditional software emulator.

 


According to ModRetro, its FPGA implementation recreates the Nintendo 64 architecture “transistor by transistor” and is intended to deliver ultra-low latency while preserving the behaviour of the original hardware as accurately as possible.

 


While software emulation and FPGA recreation ultimately pursue the same goal of keeping older games playable, ModRetro argues that recreating the hardware itself offers a more authentic preservation path for the Nintendo 64 platform. For the uninitiated, FPGA stands for Field-Programmable Gate Array, a type of chip that can be reconfigured after manufacturing to perform specific hardware functions.


Is ModRetro the only company doing this?


No. While FPGA-based retro gaming remains a niche segment compared to software emulation, ModRetro is not the only company pursuing this approach. One of the most notable examples is Analogue 3D, an FPGA-based Nintendo 64 system announced by Analogue. Like the M64, Analogue 3D is designed to work with original Nintendo 64 cartridges and output games to modern displays. The company also positions its product as an alternative to conventional software emulation.

 


Both products target a similar audience: players who still own original Nintendo 64 game collections and want to play them on modern hardware without relying on software emulators.

 


The existence of both products suggests that FPGA-based console recreation is becoming an increasingly visible part of the retro gaming market. While software emulation remains the most common way to play older titles, companies are betting that some players are willing to pay for hardware designed specifically to reproduce the behaviour of classic gaming systems as closely as possible.



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Motorola Edge 2026 with MediaTek Dimensity 7450 unveiled: Check details

Motorola Edge 2026 with MediaTek Dimensity 7450 unveiled: Check details



Motorola unveiled the Motorola Edge 2026 smartphone on June 2. The new Motorola Edge sports a 6.3-inch AMOLED display with a 120Hz refresh rate. It is powered by the MediaTek Dimensity 7450 chip and a 5,000mAh battery with 60W fast charging support.

 


The company has not yet announced the India availability of the smartphone. However, according to a report by 91Mobiles, the Motorola Edge 2026 may debut in India as the Motorola Edge 70 Neo, as the Neo series smartphones have a comparatively smaller display than their siblings.

 


Motorola Edge 2026: Details

The Motorola Edge 2026 features a 6.3-inch Extreme AMOLED display with Super HD resolution, a 120Hz refresh rate, and peak brightness of up to 5,200 nits. The smartphone is powered by the MediaTek Dimensity 7450 processor. Motorola said the device comes with up to 8GB LPDDR5X RAM and up to 128GB storage. For audio, the smartphone features dual stereo speakers with Dolby Atmos support.

 


For photography, the Motorola Edge 2026 features a triple rear camera setup led by a 50MP primary camera based on Sony’s LYTIA 710 sensor with optical image stabilisation (OIS). The phone also includes a 50MP ultra-wide camera with Macro Vision support and a 10MP 3x telephoto camera. On the front, Motorola has equipped the device with a 50MP selfie camera. Motorola said the smartphone supports 4K video recording and includes AI-powered camera features such as Photo Enhancement Engine, Action Shot, and Adaptive Stabilisation.

 


The Motorola Edge 2026 packs a 5,000mAh battery, which supports 60W TurboPower wired charging and 15W wireless charging. On the software side, the Motorola Edge 2026 comes with Moto AI and also offers access to AI assistants, including Google Gemini and Perplexity.


Motorola Edge 2026: Specifications


  • Display: 6.3-inch Extreme AMOLED display, Super HD resolution, 120Hz refresh rate, up to 5,200 nits of peak brightness

  • Processor: MediaTek Dimensity 7450

  • RAM: Up to 8GB LPDDR5X

  • Storage: Up to 128GB

  • Rear camera: 50MP primary + 50MP ultra-wide + 10MP 3x telephoto

  • Front camera: 50MP

  • Battery: 5,000mAh

  • Charging: 60W wired, 15W wireless

  • Durability: IP68, IP69 rated, Gorilla Glass 7i



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Hybrid agentic inference is coming soon to Perplexity Computer: What is it

Hybrid agentic inference is coming soon to Perplexity Computer: What is it



As AI models become more capable, companies are looking for ways to balance performance, privacy, and the rising cost of compute. While cloud-based models offer greater processing power, they require data to be sent to remote servers. On-device AI can keep information local, but is often constrained by hardware limitations. Determining which workloads should run locally and which should be handled in the cloud has emerged as what the industry increasingly describes as an “orchestration problem.”

 

To address this, Perplexity has announced a new feature called “hybrid agentic inference” for its Personal Computer platform. The system is designed to automatically split workloads between models running on a user’s device and more powerful models in the cloud. According to the company, the approach can keep sensitive data local while reserving cloud computing resources for tasks that require greater processing power. 

 
 


What is an orchestration problem?

 


An orchestration problem is the challenge of deciding which AI model should do which part of a task, where it should run, and when. In Perplexity’s case, imagine you’re asking an AI to analyse your bank statement and create a financial summary. 

 


Some parts of the task involve sensitive personal data that should ideally stay on your laptop, while other parts may require the reasoning power of a larger cloud-based AI model. The orchestration problem is figuring out how to split the work between the local and cloud models efficiently.

 


What is hybrid agentic inference?

 


Perplexity’s hybrid agentic inference system is designed to automatically determine where AI tasks should be processed. A compact model running on a user’s device handles sensitive information and decides whether certain data should remain local, while more demanding tasks can be routed to powerful AI models in the cloud.

 


The company mentioned that the approach is particularly useful for tasks involving personal information such as financial records, health data, and private documents. Rather than requiring users to manually choose between local and cloud processing, the system makes those decisions automatically for each request.

 


Why Perplexity is pushing local AI

 


The announcement comes as AI companies increasingly explore running models directly on consumer devices. Improvements in processors, graphics chips, and dedicated AI hardware have made it possible to perform a growing number of AI tasks locally rather than relying entirely on cloud infrastructure.

 


Perplexity argues that keeping more workloads on-device can improve privacy and reduce the amount of computing power required from remote servers. The company stated that its hybrid approach allows local and cloud models to work together, with each handling the tasks best suited to its capabilities.

 


The company said, “People would rather own a data centre in their laptop than build one they don’t control.” Perplexity is arguing that modern PCs are becoming powerful enough to handle a growing share of AI workloads locally. This gives users greater control over their data, reduces the need to send sensitive information to remote servers, and lessens dependence on large centralised data centres operated by technology companies.

 


Partnership and support for other hardware

 


Perplexity unveiled the technology alongside Intel and said the system is designed to work across multiple hardware platforms. The company also highlighted support for NVIDIA’s RTX Spark platform, adding that its orchestration layer is model-agnostic and can operate across different AI chips and local computing environments.

 

The move reflects a broader industry trend toward AI-capable PCs and devices. As more hardware gains the ability to run AI models locally, companies are looking for ways to combine on-device processing with cloud-based AI services in a seamless manner. 

 


How it compares with rival approaches

 


Perplexity’s announcement follows a wider industry push toward hybrid AI systems. Apple uses a combination of on-device processing and its Private Cloud Compute infrastructure through Apple Intelligence, while Google offers Gemini Nano for local AI tasks alongside larger cloud-based Gemini models. Microsoft is also expanding on-device AI capabilities with its new Aion model family.

 

Perplexity said that its approach differs by automatically coordinating local and cloud models within a single workflow. Instead of requiring users or developers to decide where tasks should run, the system determines the most appropriate location for each part of a request. 

 


When will it be available?

 


According to Perplexity, a personal computer with local inference support will begin rolling out in July. The company has not yet shared details about hardware requirements, supported devices, or whether the feature will be available to all users at launch.

 



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