Semiconductor fabrication and test is the stage in which a chip's design becomes real silicon, and each chip is then packaged and tested. It covers the machines that build and inspect each layer of a chip, the factories that run those machines, the plants that package chips, and the instruments that test them.
Chips are made in a fab, short for fabrication plant. A semiconductor foundry is a fab that makes chips for other companies. Most chip companies have no fab of their own, and they are called fabless. The leading foundries are in Taiwan, South Korea and the United States. A leading fab costs tens of billions of dollars to build.
Inside the fab, chips are made many at a time on a wafer, a thin disc of silicon usually 300 millimetres across. The wafer passes through hundreds of steps over about three months, in a clean room whose air is far cleaner than a hospital operating theatre's. Semiconductor manufacturing equipment lays very thin layers on the wafer. It then etches away each layer wherever the printed circuit pattern marks it for removal. After each step, wafer inspection and measurement systems look for defects too small to see, and measure what was built.
A finished wafer holds hundreds or thousands of chips. Each one is called a die. In an OSAT (chip assembly and test) plant, the wafer is cut into dies. Each die is sealed in a package, a small case with metal contacts, and tested. Engineers use oscilloscopes and test instruments to test chips, boards and phones, both while they are designed and while they are made.
Not every die works. The share that works is the yield, and the fab earns money only on working chips. So finding a defect early, and fixing its cause, is worth a great deal. Software for anomaly detection watches the machines' sensor readings and the inspection results for early signs of a problem.
India is entering this stage. Tata Electronics is building India's first commercial fab at Dholera in Gujarat. Micron Technology's plant at Sanand in Gujarat and Tata's plant at Jagiroad in Assam will assemble and test chips. The page on semiconductor fabs in India explains these plants.