Samsung to invest in manufacturing telecom and networking products in India

India is offering additional incentives to more companies to boost the entire value chain of manufacturing telecom and networking equipment, Digitimes reported. Samsung Electronics, Tata Group and Reliance Group are expected to increase investment in electronics manufacturing in India.

In a press release, the Ministry of Communications announced that 42 companies, including 28 MSMEs, have been approved to participate in the Production Linked Incentive (PLI) scheme for telecommunication and networking products. Of these, 17 companies applied for more incentives under the design-led criteria, providing an additional 1% subsidy for products designed in India.

Foxconn and its Indian subsidiary Rising Star, Reliance Industries' joint venture partner Sanmina-SCI, Tata Group subsidiary Tejas Networks, Nokia Solutions and Networks India, Jabil, Dixon Technologies and Samsung Electronics are among the beneficiaries of the PLI scheme, which Aims to reduce India's importation of core transmission equipment, 4G/5G next-generation wireless access networks and wireless equipment, access and customer premises equipment (CPE), IoT access equipment, and other wireless and enterprise equipment such as switches and routers. rely.

According to the press release, the applicant has committed an investment of INR 41.15 billion ($500 million), which is expected to generate additional sales of INR 2.45 trillion during fiscal 2023 (April to March 2023) and generate more than 44,000 additional jobs).

India's wireless carriers have launched 5G services since October, with Bharti Airtel announcing that it has over 1 million 5G customers on its network. Nonetheless, neither Bharti Airtel nor Reliance Jio have deployed Indian-made 5G telecom equipment.

Meanwhile, Business Standard reported that Tata acquired Tejas Networks, which makes networking products including radios, and Sankhya Labs, a provider of fabless wireless communications solutions, while Tata Consultancy Services Inc. system integrator.