HCLTech Partners With Japan's Rapidus To Open Two Semiconductor Centers In India

Key numbers

Market Cap	₹3,85,937 CrLarge Cap
P/E Ratio	21.07Sector: 22.78
Promoter Holding	60.88%No pledge
1-Year Return	-6.67%Price performance

Key highlights

• Official inauguration of two HCLTech development centers in Bengaluru and Hubli
• Scope includes mask design, PDK development, and design technology co-optimization
• Joint initiative to build a pipeline of Indian engineering talent for Japan
• Partnership aligns with HCLTech's reported $14.8 billion trailing 12-month revenue
• Strategic move to compress time-to-market for advanced chip adoption

Details

.
.

New Engineering Hubs in Bengaluru and Hubli

HCLTech and Rapidus Corporation have officially inaugurated two dedicated development centers in India to address evolving semiconductor engineering requirements. Located in Bengaluru and Hubli, these centers will focus on specialized technical domains including mask design, design infrastructure, and layout design. The facilities aim to leverage HCLTech's engineering expertise to support Rapidus' goal of establishing advanced logic semiconductor manufacturing capabilities in Japan.

This collaboration also extends to human capital, with both firms planning to develop a steady pipeline of Indian engineering talent to meet semiconductor talent requirements in the Japanese market.

Core Engineering and Technology Scope

• Process Design Kit (PDK) development and design infrastructure support
• Implementation of design technology co-optimization (DTCO) workflows
• Dedicated semiconductor engineering capabilities for next-generation logic chips
• Technical resource development to support long-term manufacturing objectives
• Acceleration of chip adoption and compressed time-to-market for new innovations

Financial Performance and Strategic Context

This partnership arrives as HCLTech demonstrates robust financial momentum, reporting a net profit of ₹5,132 crore for the quarter ended September 30, 2026, representing an 11% sequential growth. The company’s operating revenue for the same period stood at ₹35,620 crore. The collaboration with Rapidus follows a series of high-profile AI and digital transformation deals, including a $3.26 billion total contract value in new wins reported earlier in October 2026.

While the Rapidus deal value remains undisclosed, it strengthens HCLTech's position in the IT Consulting and Software sector where it maintains a TTM PE of 21.07, slightly below the industry average of 21.4.

Building a Strong Engineering Ecosystem

Through this collaboration with HCLTech, we expect to access India’s growing pool of semiconductor engineering talent and establish dedicated development capabilities that complement our operations in Japan.

What to watch next

• Payment of the second interim dividend of ₹12 per equity share on October 26, 2026
• Revenue growth performance against the FY27 guidance of 2.5% to 4.0% in constant currency
• Operational milestones for the talent pipeline initiative between India and Japan

“Advanced semiconductors will define the technologies of the next decade. This partnership reflects the growing strategic collaboration between Japan and India, bringing together Rapidus' next-generation semiconductor ambitions with HCLTech's engineering expertise.”

“Building a strong engineering ecosystem is essential as Rapidus advances our mission to establish next-generation semiconductor manufacturing capabilities in Japan.”

HCL Technologies · financial snapshot

Share price	₹1422.2
Market capitalisation	₹3.86L Cr
Revenue (annual)	₹1.30L Cr
Net profit (annual)	₹16,642.00 Cr
Revenue (latest quarter)	₹35,620.00 Cr+3.01% vs previous quarter
Net profit (latest quarter)	₹5,132.00 Cr+10.99% vs previous quarter
P/E (TTM)	21.07×Sector 22.78×
Promoter holding	60.88%0.00% QoQ
FII holding	15.32%Current quarter

Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.