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INDUSTRY SCAN
General
Industries minister meets tech CEOs,
discusses semiconductor growth in state
Karnataka's large and medium industries minister, MB Patil,
met with global technology CEOs in New York on Tuesday to
explore new opportunities for the growing semiconductor
ecosystem in the state. His official visit included
engagements with Eugenus Technology who is now eyeing
expansion in the state. Eugenus provides advanced
semiconductor manufacturing equipment that specializes in
high-precision deposition, etching, and cleaning systems.
Lam Research, a global supplier of wafer fabrication
equipment, that established its systems lab in Bengaluru in
early September will further explore collaboration and
innovation in the state’s semiconductor sector. The minister
addressed key American companies at a roundtable hosted by
the US-India Strategic Partnership Forum (USISPF).
Discussions focused on multi-faceted collaborations between
the USA and Karnataka, exploring new avenues for potential
growth and strengthening ties between both regions.
Source: https://economictimes.indiatimes.com/, October 01,
2024
Foxconn plans to invest up to Rs 424
crore in semiconductor JV with HCL
Taiwanese electronics manufacturing giant Foxconn will
invest up to Rs 424 crore in a semiconductor joint venture
it has set up with HCL Group, according to an official note
and sources. The iPhone contract manufacturer has purchased
a 40 per cent stake in a semiconductor joint venture (JV)
for about Rs 312 crore. If the potential investment of no
more than USD 13,310,000 (about Rs 112 crore) is included,
the total accumulated holding will not exceed USD 50,510,000
(about Rs 424 crore) and the cumulative shareholding ratio
will be adjusted based on the actual capital increase.
According to sources, the investment is for Foxconn-HCL OSAT
(Outsourced Semiconductor Assembly And Test) plant to be set
up in India. The company has invested over USD 1.4 billion
in India as of August 2024, and its business has grown to
USD 10 billion.
Source: https://www.business-standard.com/, October 02, 2024
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Information Technology
IT union NITES locks horn with
Karnataka govt over Infosys onboarding delays
Days after Pune-based information technology (IT) union
NITES approached the Ministry of Labour and Employment to
intervene in the matter of onboarding delays of freshers in
IT major Infosys, it has again submitted a complaint
alleging “biassed action” by Karnataka State Labor
Department. On August 20, Pune-based IT union Nascent
Information Technology Employees Senate (NITES) submitted a
complaint against Infosys for the “ongoing exploitation and
unprofessional treatment” of over 2,000 young engineering
graduates who were selected for System Engineer (SE) and
Digital Specialist Engineer (DSE) roles during the 2022-23
recruitment drive. These graduates, after being issued offer
letters as early as April 2022, were being subjected to
“continuous delays in the onboarding process, unpaid
pre-training programs, and unexpected additional
assessments”.
Source: By Abhishek Sahu, https://www.moneycontrol.com/,
October 01, 2024
STPI focuses on tech startups, GCCs;
10 new parks in smaller cities soon
After playing a pivotal role in shaping India’s IT services
sector for over three decades now, Software Technology Parks
of India (STPI), an autonomous body under the Ministry of
Electronics and Information Technology (Meity), is now
realigning its focus towards the tech startup ecosystem and
Global Capability Centers (GCCs). In line with this shift,
the body is soon going to operationalise 10 new STPI parks
across Tier-II and Tier-III cities, aimed at providing
critical infrastructure for the next generation of
technology startups. STPI currently operates 65 centres
across the country. Of this, 57 are in Tier-II and Tier-III
cities. The government had recently given approval for
setting up 20 additional STPI centres in the next phase of
expansion. The new parks are expected to provide more than
just office spaces; they will be equipped with
high-performance computing infrastructure, including cloud
and GPU services.
Source: By Asutosh Mishra, https://www.business-standard.com/,
September 30, 2024
Big IT expects growth momentum to
continue in September quarter
India’s software service providers are expected to report
slightly better results for the second quarter, with
analysts believing the momentum from the previous three
months to have picked up amid a revival in deals in the
banking and financial services vertical and an improvement
in business sentiment in North America.Infosys and
LTIMindtree are likely to lead the large players in revenue
growth for the July-September quarter, while Coforge and
Persistent Systems are expected to outperform most others in
the mid-tier pack, according to several analysts. They
expect the demand outlook of companies to be largely similar
to that after the fiscal first quarter.Market leader Tata
Consultancy Services will kickstart the results season on
October 10, followed by HCLTech, the third largest, on
October 14. Second and fourth largest players, Infosys and
Wipro, will announce earnings on October 17.
Source: https://economictimes.indiatimes.com/, October 02,
2024
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Consumer Electronics
Smart Home Market on Track for Rebound
Thanks to Emerging Regions, according to IDC
Global shipments of smart home devices are set to stall once
again in 2024 as volume remains flat with 0.6% growth to
892.3 million devices, according to the International Data
Corporation (IDC) Worldwide Quarterly Smart Home Device
Tracker. High penetration and long refresh cycles in mature
markets such as the US have curbed growth though worldwide
shipments are set to return to growth in 2025 on the backs
of emerging markets, driving unit shipments to grow 4.4% to
931.1 million units. Home monitoring and security products
such as connected cameras, door locks, and doorbells are
quickly rising to the top, representing over a quarter of
the volume throughout the forecast. “The upside of
additional security camera purchases is often much larger
than the upside of follow up smart TV or smart speaker
purchases as consumers go through their smart home journey,”
said Jitesh Ubrani, research manager for IDC's Mobility and
Consumer Device Trackers.
Source: https://www.idc.com/, September 30, 2024
Biggest online sales fail to boost
demand in first two days; marketers eye Navratri rebound
The first two days of the largest online discounting sales
this year failed to deliver a major demand spike, prompting
some marketers to raise discounts in hope of a rebound next
week as salaries come in and Navratri begins. Smartphone
sales declined by 2-3% by the number of units sold as
compared to the first two days of last year’s sales, four
industry executives said. Sales of televisions,
refrigerators and washing machines did not grow either. Even
Apple’s older generation iPhones, which have always been a
top grosser for ecommerce during sales, did not meet the
target on some platforms, they said. The company said
premium smartphones priced over Rs 30,000 reported the
highest year on-year growth, as did luxury beauty and
premium watches. Amazon and Walmart-owned Flipkart started
their flagship sales on Friday midnight with early access
for registered or paid members from Thursday midnight.
Source: By Writankar Mukherjee, September 29, 2024
R&S Unveils Cutting-Edge Test
Solutions for Consumer Electronics at CETEX
CETEX, the all-new Consumer Electronics Test & Development
Forum and Expo, invites test and development engineers to
RAI in Amsterdam from October 9 to 10, 2024. There, Rohde &
Schwarz will exhibit its advanced test and measurement
solutions that address the latest emerging challenges in
consumer electronics development. Visitors can connect with
the company’s experts and explore the latest technologies
that help them enhance EMC compliance, debug digital
protocols faster, or improve the energy efficiency of their
products. Consumer electronics consist of many components,
each of which needs to be tested separately during the
development phase, when the datasheet is being compiled, or
when the product is undergoing certification.
Source: https://timestech.in/, October 01, 2024
Component suppliers for consumer
durables sector need protection, say industry players
Consumer durables component makers must be protected with
tariff or non-tariff barriers to enable vendors to invest in
the ecosystem to make localisation in India successful,
industry players said on Monday. Original equipment
manufacturers (OEMs) will also have to invest in developing
the supplier ecosystem for the domestic industry to reduce
cost and be globally competitive, said participants at the
CII Consumer Electronics & Durables Summit 2024."We have to
have protection or some barriers for the vendors to really
get confidence to invest. So tariff barrier is something
very critical," Godrej Appliances Business Head & Executive
Vice President Kamal Nandi said speaking at the summit.
Citing an example of compressors for refrigerators, he said,
"With a capacity of 18 million in the country, we still
import refrigerator compressors when the market is only 14
million.
Source: https://economictimes.indiatimes.com/, September 30,
2024
TOP
Telecom
Amid reports of ‘cyber slavery’,
telecom ministry to disconnect 2.17 crore mobile connections
The Union Ministry of Telecommunications has informed the
Centre’s high-level inter-ministerial panel it will
disconnect around 2.17 crore mobile connections, that are
either taken on forged documents or misused in cybercrime,
and also block 2.26 lakh mobile handsets. Earlier this
month, the Department of Telecommunications (DoT) is learnt
to have shared the data at a meeting held by the Union
Ministry of Home Affairs (MHA) with the officials of Bureau
of Immigration, Financial Intelligence Unit, Reserve Bank of
India (RBI), Ministry of Electronics and Information
Technology (Meity), National Investigation Agency (NIA),
Central Bureau of Investigation (CBI), security experts of
other agencies, and senior officials of all states and Union
Territories. On March 28, The Indian Express reported that
more than 5,000 Indians were suspected to be trapped in
Cambodia after being allegedly held against their will and
forced to carry out cyber frauds.
Source: https://indianexpress.com/, October 01, 2024
Security hurdle: Global gear
companies' clash with DoT may hit broadband expansion
.jpeg)
A spat between top global telecom equipment makers, such as
Cisco, Nokia, Ericsson and HPE, and the Department of
Telecommunications (DoT) threatens to hit India's broadband
expansion. The DoT is sticking to the October 1 date for
implementation of a new security mandate which allows
selling of only those Wi-Fi customer premises equipment (CPEs)
and Internet Protocol (IP) routers that have got the
security. A conflict between global telecom equipment makers
and India's Department of Telecommunications (DoT) over a
new security mandate could impact the country's broadband
expansion. The mandate requires Wi-Fi and IP router products
to have government security certification, but companies are
resisting due to intellectual property concerns. The
industry seeks a two-year extension, but DoT insists on the
October 1 deadline.
Source: By Kiran Rathee, https://economictimes.indiatimes.com/,
September 30, 2024
Telecom service authorisation regime
should retain contractual nature: COAI
.jpeg)
The new service authorisation regime in the telecom sector
must continue to retain the contractual nature of the
present licences to ensure uniformity, regulatory certainty,
and protection for investors who commit long-term capital to
the sector, the Cellular Operators Association of India (COAI)
said on Monday. In a major overhaul of the licensing
ecosystem in the telecom sector, the telecom regulator last
week recommended that three new categories of authorisations
be created to cover the gamut of telecom services in the
country, in line with the new Telecom Act, 2023. COAI, which
represents private sector telecom operators Reliance Jio,
Bharti Airtel, and Vodafone Idea, said the recommendation
further provided an opportunity for TRAI to facilitate and
reduce the burden on the industry by suggesting the
financial reforms badly required by the sector.
Source: By Subhayan Chakraborty, https://www.business-standard.com/,
September 30, 2024
TOP
EV’s & Auto Electronics
Electric Vehicle Sales Rise 19% In
2024-25, Driven By Government Initiatives
Electric vehicle (EV) sales in the first half of the fiscal
year 2024-25 have seen a significant jump of 19%, reaching
836,621 units up from 702,013 units in the previous year's
corresponding period. This growth underlines the increasing
popularity and acceptance of electric vehicles in the
market. Despite this upward trajectory, the month-on-month
growth in August was relatively modest at 1.22%, with sales
figures slightly rising from 146,745 units. In September
2024, there was a notable 24.65% year-on-year increase in EV
sales, with 148,539 units sold compared to 119,163 units in
September of the previous year. This growth occurred despite
September traditionally being a slow month for high value
purchases due to the Shradh/Pitru Paksha period, which is
considered inauspicious by many.
Source: https://www.drivespark.com/, October 02, 2024
Tesla Motors misses delivery
estimates, demand takes hit amid competition in China and
European market
Tesla handed over fewer vehicles than analysts expected in
the third quarter as stiff competition in China and Europe
hit demand for its aging models, putting the
electric-vehicle maker at risk of its first-ever decline in
annual deliveries. Shares of the world's most valuable
automaker fell more than 6% in morning trading on Wednesday
and were on track to erase nearly all their gains for the
year. Growing consumer interest in hybrids over EVs, a lack
of European subsidies and strong competition in China were a
drag on Tesla's deliveries, as Chinese automakers such as
BYD and Xpeng aggressively expand their presence in the
world's largest automotive market, with help from local
government subsidies. Tesla said deliveries rose 6.4% in the
July-September period to 462,890 vehicles, marking its first
quarter of growth this year. But the figure fell short of
estimates of 469,828, according to 12 analysts polled by
LSEG.
Source: https://www.livemint.com/, October 02, 2024
Hybrid car sales soar as global
policies boost electric vehicle market
The global electric vehicle (EV) market is experiencing
significant growth, spurred by policy initiatives and
stricter emission norms across various countries. According
to the International Energy Agency (IEA), these factors are
contributing to a rise in EV sales each year, particularly
in key international markets. Governments around the world
are implementing policies to encourage the adoption of
electric vehicles, making them more accessible to consumers
and pushing automakers to transition away from traditional
internal combustion engines, according to a report by The
Economic Times. While electric vehicle sales are gaining
momentum, hybrid vehicles, including strong hybrids and
plug-in hybrids, are witnessing even faster growth. The rise
in hybrid vehicle sales is largely driven by government
support in making the technology cost competitive.
Source: By Rimjhim Singh, https://www.business-standard.com/,
September 30, 2024
Ford in talks to make EVs in way back
to India: Tamil Nadu Industries Minister T.R.B. Rajaa
Ford Motor Co. is discussing plans to manufacture electric
vehicles at its southern India plant in Tamil Nadu for
re-entering the world’s third-largest car market three years
after announcing shutting its local factories. Ford is yet
to decide on what it will manufacture in India, Tamil Nadu
Industries Minister T.R.B. Rajaa said in an interview to
Bloomberg TV. However, he hinted that it could be electric
vehicles. Ford is the latest to join domestic and foreign
carmakers — from Tata Motors Ltd. to Vietnamese automaker
VinFast Auto Ltd. — who are pouring billions to set up
manufacturing plants in Tamil Nadu. Ford announced plans to
use its plant in Chennai for exports in mid-September after
sending a letter of intent to the Tamil Nadu state
government.
Source: https://economictimes.indiatimes.com/, October 01,
2024
TOP
Defence & Solar
Indian Army signs quantum key
distribution contract under iDEX
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In a significant move towards enhancing national security
and self-reliance, the Indian Army signed its eighth
procurement contract through the Innovations for Defence
Excellence (iDEX) initiative. This latest agreement, signed
at South Block, New Delhi, involves the procurement of
‘Quantum Secure Key Generation’ technology from QuNu Labs, a
leader in quantum technology. The signing took place in the
presence of Lt Gen NC Raja Subramani, Vice Chief of the Army
Staff. QuNu Labs’ proposal for a 200-kilometer single-hop
Quantum Key Distribution (QKD) was selected under iDEX’s
Open Challenge 2.0. This system, which replaces traditional
algorithm-based encryption, is expected to significantly
enhance security while reducing manpower requirements. By
adopting QKD, the Indian Army aims to stay ahead in
safeguarding critical communications in an era where quantum
computing poses potential risks to conventional encryption
methods.
Source: https://www.financialexpress.com/, October 01, 2024
India orders hundreds of new engines
for Su-30MKI fighters
The backbone of India’s fighter jet fleet is the
Russian-designed Sukhoi Su-30MKI, and the country recently
ordered 240 engines to keep the fleet airborne for years to
come. Following approval by the Cabinet Committee on
Security earlier this month, officials signed a deal with
state-owned Hindustan Aeronautics Limited (HAL) to supply
the so-called AL-31FP engines. The contract, worth more than
260 billion rupees or US$3.1 billion, will see the first
engine handed over to the Indian Air Force (IAF) after a
year. All will be delivered within eight years, according to
a Ministry of Defence statement, with production of 30
annually. Made by HAL under Russian license, the engines
currently feature local content of 54%. However, the company
plans to boost the ratio to 63% by tapping India’s defense
manufacturing ecosystem.
Source: By Gordon Arthur, https://www.defensenews.com/,
September 30, 2024
TOP
MSME
(Special section of the MSME related news under ELCINA Micro
& Small Industry Forum)
Govt extends interest equalisation
scheme for MSME exporters for three months
Directorate General of Foreign Trade (DGFT) has extended the
interest equalisation scheme (IES) for pre-and-post shipment
rupee export credit for three months from September 30 to
December 31, 2024, to support exporters. The extension
applicable for MSME manufacturing exporters will be
effective “with the additional condition that fiscal
benefits of each MSME, on aggregate, will be restricted to
Rs 50 lakhs for FY 2024-25 till December 2024,” the trade
notice said on Monday. Moreover, MSME manufacturer exporters
who have already availed equalisation benefits of Rs 50
lakhs or more in 2024-25 till September 30 will not be
eligible for any further benefit in the extended period. The
scheme was earlier extended till September 30 from August
end for MSME exporters while the claims of non-MSME
exporters were accepted till June 30.
Source: By Sandeep Soni, https://www.financialexpress.com/,
October 01, 2024
Bengal top scorer among women-owned
MSMEs in India: Mamata
West Bengal has emerged as the top scorer in terms of
women-owned micro, small and medium enterprises (MSMEs),
Chief Minister Mamata Banerjee said on Tuesday. Banerjee,
referring to a report by the Centre, said that Bengal ranked
first in the share of all MSMEs owned by women, accounting
for 23.42 per cent of such enterprises across India. “Proud
to announce on the eve of the ‘Devi Paksha’ (fortnight of
the Goddess) that in the MSME Annual Report 2023-24
published by the Government of India’s Ministry of MSME,
West Bengal has emerged as the top scorer in the landscape
of women-owned micro, small, and medium enterprises (MSMEs),”
Banerjee said on X. “This figure highlights West Bengal’s
progressive approach to empowering women entrepreneurs and
underscores the vital role they play in the state’s economic
development,” she added.
Source: https://theprint.in/, October 01, 2024
JM Financial hits 52-week high as
subsidiary approves Rs 1,000 crore MSME loan assignment
JM Financial shares hit a fresh 52-week high in trade on
September after its subsidiary, JM Financial Products
approved the direct assignment, or sale, of its MSME loan
portfolio. In a meeting on September 27, JM Financial
Products' board of directors approved the direct assignment
of its MSME loan portfolio for Rs 1,000 crore to one or more
parties. At 12.05 pm, JM Financial shares were trading at Rs
149.97 per share, higher by five percent compared to the
previous session's close. Additionally, JM Financial
Products' Vishal Kampani resigned from his position as
Managing Director to comply with the RBI's provisions which
state any key managerial personnel of NBFCs middle layers(ML)
and upper layers (UL) shall not hold any other position.
Vishal Kampani is already the Managing Director of JM
Financial Credit Solutions Limited, an NBFC-ML.
Source:https://www.moneycontrol.com/, September 30, 2024
Prospects brightening for MSMEs in
ITeS, shows CRISIL SME Tracker
The micro, small and medium enterprises (MSMEs) in
information technology-enabled services (ITeS) industry is
estimated to grow 7-9 per cent in rupee terms to Rs 4.2
trillion this financial year, driven by a strong order
pipeline and minimal impact of the global economic slowdown
that had impacted it last financial year. Growth will be
supported by resumption of deferred projects and new orders
from key segments such as banking, financial services and
insurance and manufacturing. MSMEs which comprise 30-40 per
cent of the industry, are largely into customer relationship
management (CRM) services, which account for three-fourths
of the revenue pie and are poised to benefit from a shift
towards non-voice revenues. Among the other ITeS segments,
transaction services will expand on the back of increasing
digital payments. Knowledge services, too, are evolving with
a greater focus on analytics-driven offerings.
Source: https://www.business-standard.com/, September 30,
2024
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ELCINA EVENTS , ACTIVITIES & SERVICES
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ELCINA Publications
https://elcina.com/roadmap-for-developing-pcb-eco-system-in-india |
Roadmap For Developing PCB
Eco-System in India
Key Findings
-
Indian PCB market and industry size in terms of
domestic production, exports, and imports
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Growth drivers and challenges (needs & gaps) in
the Indian PCB industry
-
Growth potential of PCB manufacturing in India
and identify enablers for creating &
strengthening the domestic value chain
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Key inputs required viz. investments,
technology, and infra eco-system
Details of key PCB value chain players – global and
domestic, who can be invited to invest to establish
a strong PCB industry |
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https://elcina.com/ems-task-force-report-on-market-industry-analysis-of-ems-sector-in-india |
EMS Task Force Report
Key Findings
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Currently EMS Industry (Contract Manufacturing
Services) are valued 832 Bn $ and are projected
to grow 1055 Bn by 2025.
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Domestic electronics manufacturing is estimated
at USD 75 Bn of which 39 Bn constitutes EMS
value. This is divided into 23.5 Bn domestic
Mfg. and USD 15.5 Bn PCBS/Sub-Assembly imports.
-
Further USD 53.5 Bn is finished Electronic Goods
imports of which USD 17 Bn is EMS value. Thus
total EMS opportunity loss is US$ 32.5 Bn (15.5
+17).
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The report estimates that EMS production can
grow realistically from USD 23.5 Bn today to USD
152 Bn by 2025 at CAGR of 45%. This will meet
75% of the countries EMS requirement of US$ 203
Bn by 2025 against a total estimated market of
400 Bn.
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https://elcina.com/elcina-task-force-report-on-electronic-components |
ELCINA Task Force Report on
Electronic Components
Key
Findings
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Current status of component manufacturing in
India – Areas of competence vs Gaps and
inadequacies
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Components which urgently require investments
and growth in domestic manufacturing
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Emerging technology and new components for
upcoming opportunities
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Constraints and bottlenecks to be addressed
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Overcoming Policy constraints, WTO (ITA-1)
deadlock and Zero Duty issue
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Strategy for overcoming these constraints
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Eco-System requirements- Role of Central and
State Governments
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https://elcina.com/elcina-directory-of-indian-electronics-industry |
ELCINA Directory of Indian
Electronics Industry 2023-24
Description
-
ELCINA Directory of Indian Electronics Industry
– includes the updates on Indian Electronics
Industry and a host of additional improved
features covering business environment,
statistical industry scan, company databases
plus various projections. This handy compendium
with its easy-to-read format attracts the
attention of a growing number of users (within
India and abroad)
-
Apart from electronics industry, the users of
this Directory range from financial
institutions, commercial banks, FIIs,
Consultancy organizations as well as industry
promotion institutes across the world….
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FORTHCOMING EVENTS & GENERAL INFORMATION
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A newsletter published by ELCINA, New
Delhi. The information contained in this newsletter
is for private circulation only. Despite our best
efforts, some errors could have crept in. You are
advised to verify authenticity of the information
before further use.
Electronic Industries Association of India (ELCINA
)
ELCINA House, 422 Okhla Industrial Estate,
Phase-III, New Delhi 110020 (India).
E-Mails:
info@elcina.com
Tel: 011-41615985,
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Website:
www.elcina.com
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