New Delhi, May 3 -- Software giant Zoho has decided to put its ambitious $700 million (approximately Rs5,800 crore) semiconductor manufacturing plan on hold, which came across as a notable setback for India's efforts to build a domestic chip manufacturing ecosystem.

Co-founder and CEO of Zoho, Sridhar Vembu, stated the reason for pause as not sure of the right technology path and significant capital investment required for semiconductor fabrication Plant.

Vembu posted on social media 'X', "On our semiconductor fab investment plan, since this business is so capital intensive, it requires government backing, we wanted to be absolutely sure of the technology path before we take taxpayer money."

He added, "We did not have that confidence i...