Laser-induced plasma micromachining (LIP-MM) is a novel multimaterial and tool-less micromachining process. It utilizes tightly focused ultrashort laser irradiation to generate plasma through laser-induced dielectric breakdown in a dielectric material. The plasma facilitates material removal through plasma–matter interaction spot through vaporization and ablation. The paper introduces the LIP-MM process, discusses the underlying principles behind plasma generation and machining, and proves its feasibility by describing the experimental conditions under which plasma generation and machining occur. Upon successful commercial realization of this novel process, the key benefits envisaged are micromachining with better accuracy and better surface integrity, minimal subsurface damage, relatively smaller heat-affected zone (HAZ) and low roughness in a wide range of materials including those that are difficult to machine by some of the most successful micromachining processes such as micro-electrodischarge machining (EDM) and laser ablation.