Zoho Corporation has applied for a licence to build a compound semiconductor fabrication plant, or fab, besides earmarking $200 million for the project, the company said.

According to two senior industry officials familiar with the matter, the Zoho compound fab project could attract around $600 million in net investment, and will involve a technology partner.

“We have applied for the licence and are awaiting government clearance. We will make a formal announcement once we get the approvals," said Sridhar Vembu, cofounder and chief executive, Zoho Corp, on the sidelines of the company’s annual event in Texas, US.

Zoho is “hoping that the government will also finance the project equally under the compound semiconductor manufacturing scheme," Vembu added.

According to one of the officials cited above, Zoho's fab project aims to bring Silicon carbide (SiC) chip manufacturing to Tamil Nadu.