IESA WINWire Jan 30 - Feb 05, 2016
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India sees $16.8-bn electronic manufacturing proposals
Source: Business Standard; February 1, 2016

India has witnessed a six-fold jump in proposed investments in local electronic manufacturing to Rs 1.14 lakh crore ($16.8 billion) as global firms such as Samsung, LG and Foxconn set up factories in the country, among the world’s largest markets for smartphones and set top boxes.

The government has received 156 proposals with investment commitment of Rs 1.14 lakh crore in the last 20 months, said India Electronics and Semiconductor Association (IESA), the grouping that promotes local manufacture of computer hardware and electronic items. “Many major well-known global brands are a part of this proposal,” said MN Vidyashankar, president of the IESA. He declined to elaborate on specific investments citing confidentiality.

India is also pushing for more local buying of defence electronics and avionics as part of its overall indigenisation efforts in defence and aerospace. The IESA said the new investment proposals were received under the Modified Special Incentive Package Scheme (M-SIPS) that looks at providing financial incentives to private companies for setting up electronics manufacturing units, helping grow India’s Electronics System Design and Manufacturing (ESDM) sector.

Tech, electronics sectors can contribute 25% to India’s GDP: DeitY official
Source:; February 3, 2016

Indian technology and electronics sector, including telecom has a potential to contribute no less than a fourth or 25% to India's GDP, with $1 trillion of opportunity in next five to seven years, a top government official said.

"India's technology sector is expected to be $1 trillion opportunity in the next 5-7 years that include $400 billion of hardware, $350 billion of software and $250 billion of telecom and Internet of Things. The tech sector could potentially contribute 25% of India's GDP," Ajay Kumar, Additional Secretary, Department of Electronics and IT (DeitY) said.

The government, as a part of ambitious Make in India initiative has facilitated establishment of 159 electronics systems design and manufacturing (ESDM) production units in the country last year.

"It is the easiest time in Indian history to start and grow a company in India and the government is keen on involving tech and ESDM sector in order to spur the ecosystem," the official said.

India got 50 new mobile phone factories in last 10 months: DeitY
Source: Business Standard; February 3, 2016

As many as 50 new mobile phone factories were set up in the country during the past 10 months, creating employment for 20,000 people. The installed capacity for mobile phone manufacturing in India is now nine million units per month, with growth predominantly coming from increasing demand for smartphones.

"There were 159 electronic system design and manufacturing (ESDM) production units established in India last year and the technology sector is expected to be $1 Tn opportunity in India in the next 5-7 years," said Ajay Kumar, additional secretary of the department of electronics and information technology (DeitY) here in Bengaluru.

Out of the $1 trillion opportunity for India, hardware manufacturing is estimated to grow into a $400 billion industry, software services a $250 billion space and telecom and IoT making up the other $250 billion, within the next five to seven years.

"Investment in the electronics manufacturing sector has jumped over six-fold to reach Rs 1.14 lakh crore in 2015, and this re-established the need for initiating dialogues to seize the$400B 'Make in India' opportunity," said M. N. Vidyashankar, President of the IESA. "ESDM startups are key to India's $400B 'Make in India' opportunity."

$1trillion opportunity for Make in India in electronics
Source: Times of India; February 3, 2016

India Electronics and Semiconductor Association (IESA), a trade body representing the Indian Electronic System Design and Manufacturing (ESDM) players, on Wednesday said that the electronic devices manufacturing was a $400B 'Make in India' opportunity. The IESA Summit in Bengaluru wanted to elevate focus on the immediate opportunities in the indigenous ESDM landscape.

More than 150 ESDM production units established in India in 2015 and technology sector expected it to be $1 trillion opportunity in India in the next 5-7 years. More than 50 mobile manufacturing units were set up in the country over the last 10 months, creating around 20,000 jobs.

With this, currently the country has a capacity to produce nine million mobile phones every month.

Karnataka clears 9 IT projects worth Rs 3097 crore
Source: Times of India; February 3, 2016

Karnataka government has cleared nine IT projects with a combined investment of Rs 3,097 crore, including a proposal by global chip maker Intel's Indian subsidiary, which will invest Rs 1,100 crore in software and hardware facilities in the city.

"The state high level clearance committee, chaired by chief minister Siddaramaiah, cleared four major IT projects, with combined investment Rs 2,957 crore, while the single window clearance cell, chaired by IT minister SR Patil, cleared five projects with combined investment of Rs 140 crore," said a statement released by the Karnataka Industries ministry.

Chip maker Intel will invest Rs 1,100 crore to set up its second computer software development centre and hardware design services facility in Bengaluru, which would create jobs for 3,000 engineers, the statement said.

As much as Rs 1,130 crore investments will be made by Velankani Electronics Limited at Electronic City to expand its capacity to manufacture electronic products and create 2,400 jobs, the statement said.

Saltire Developers Ltd will invest Rs 463 crore for creating a SEZ for IT/IT-enabled services with job potential for 25,000 people, it said.ts first year of operations, according to the company. It plans to launch 2-3 more smartphone models in the April-June quarter to expand its portfolio.

Here’s How India’s IT And Electronics Sector Can Boost the Economy By 2023
Source: Gizmodo India Bureau; February 4, 2016

The Modi government's 'Make in India' and 'Digital India' initiatives will act as gateways for spurring growth of India's technology and electronics sector that even comprises of telecom industry. At IESA Vision Summit, Ajay Kumar, additional secretary of Department of Electronics and IT (DeitY), said this sector has a potential to contribute no less than 25% to the country's GDP as it is expected to be $1-trillion opportunity in next 5-7 years.

Kumar further added that this opportunity includes "$400 billion of hardware, $350 billion of software and $250 billion of telecom and Internet of Things."

As the Centre had already facilitated development of 159 electronics systems design and manufacturing (ESDM) production units in India last year to boost the ecosystem, "it is the easiest time in Indian history to start and grow a company in India," added Kumar.

With an initial plan of Rs 1.13 lakh crore, Modi's Digital India program focuses on developing well-connected-and-empowered economy with 100% tele-density, broadband for all, public Internet access program, digital lockers, e-sign service, etc.

LDRA Tech launches competency centre for Indian market
Source: ANI; February 3, 2016

LDRA Technology Pvt. Ltd (a subsidiary of LDRA Ltd. UK), the leader in standards compliance, automated software verification, source code analysis and test tools, today launched their new initiative for the Indian market - the LDRA Competency Centre (LCC) at the IESA Vision Summit 2016. The LDRA Competency Centre (LCC) was launched by LDRA founder, Dr. Michael Hennell. During his industry keynote session titled "Safe and Secure Designs for Global Markets Access - A Perspective to Make in India" at the IESA Vision Summit 2016, Dr. Hennell said, "Make in India is a great initiative by the Indian government, but getting international safety certifications is a major bottleneck for Indian products to enter developed markets." "The lack of a local ecosystem and skill shortage are the major challenges that India faces when it comes to 'Make for the World'. LCC is an initiative which addresses the current skill gap in the embedded industry in India and aims to help Indian companies achieve international safety standards," added Dr. Hennell. LCC is a world-class training facility for developing safety and security skills and it offers a one-stop solution for building and maintaining a competent workforce for safety- and security-critical industries.

Learn, Hack & Fun – IESA Vision Summit 2016 gets a makeover this year with Makeathon
Source: ELE Times; February 4, 2016

IESA & IoTBLR Connected Devices Makeathon has been concluded today with the announcement of winners. The event has not limited the creativity of the participants with any theme. Hence, it witnessed IoT moving closer to mainstream, with new solutions conceptualised and designed around connected devices to address the complex problems around us. “Intel is committed to fostering the maker spirit among students, technologists and enthusiasts to help realize a smart and connected world. At Makeathon, it’s very exciting to see the amazing Internet of Things (IoT)-based solutions from the participants that have the potential to solve complex problems in our society and positively impact many aspects of our lives,” said Jitendra Chaddah, Director, Strategy & Operations, Intel India, who has co-sponsored Makeathon “Makeathons for hardware, connected devices, and IoT are extremely exciting as they allow for creation of prototypes that can interact with the real world in a way that pure software or mobile apps cannot, since the latter are restricted by the limited number of sensors available in a phone. With this event, IESA and IoTBLR have brought together the developer community and the right partners that can support them in going from radical idea to working prototype and eventually to marketable product, in a compressed time frame,” said Nihal Kashinath, Founder of IoTBLR, the co-organiser of the Makeathon.

The 2015 Technovation Award Winners
Source: EFY Times; February 4, 2016

The India Electronics Semiconductor Association (IESA) made an announcement yesterday regarding the winners of the Technovation 2015 awards. This was at the award function which was held at the 11th edition of Vision Summit in Bangalore.

The awards celebrate excellence in ESDM is aimed at recognising role models for innovation and excellence in the electronics and semiconductor ecosystem. It also honors India’s best individual contributors and organisations driving the industry forward; and offer them with a platform for showcasing their achievements and product successes.

As per Gurudev Sri Sri Ravi Shankar, Art of Living founder, world renowned humanitarian & spiritual leader, “Entrepreneurs have introduced a new spirit and positive energy into India’s economy. They are India’s new GDP hope. I am fortunate to witness a glimpse of this community through IESA Technovation Award 2016 and I must say the dream of India to come up in innovation & technology is not too far away. With huge talent and untapped resources it should not take much time for India to shine."

Why electronics manufacturing is making a comeback in Karnataka
Source:; February 4, 2016

India’s early forays into electronics manufacturing were overshadowed by the IT and BPO wave – but the return to manufacturing is a growing trend, according to a range of industry and government experts at the Invest Karnataka 2016 summit.

State strengths and policy
“Many startups in Karnataka today are looking at manufacturing activities – and not just from Bengaluru but Mysore and Belgaum as well,” said V. Manjula, Principal Secretary, Dept of IT, BT and S&T, Karnataka. “Globalisation is great, but Indian companies should not overlook local markets either,” she urged.

Karnataka has a lot of engineering talent, thanks to its 200 engineering colleges and 300 industrial training centres. The state’s Electronics System Design and Manufacturing (ESDM) policy now includes venture capital support as well, through the Karnataka Semiconductor Venture Fund (KarSemVen), which has supported six startups already to the tune of Rs 30 crore.

Karnataka’s policy vision is to see 20,000 tech startups in the state by 2020, with 6,000 product startups in the mix. “This will lead to 600,000 direct jobs and 1.2 million indirect jobs,” claimed V. Manjula. The policy also includes partnership options to set up incubators along with the private sector.

Indian Tech Sector to Contribute 25% to GDP By 2023
Source: CXO Today; February 5, 2016

Indian technology sector is expected to be around $ 1 trillion opportunity in next 5-7 years and has potential to contribute 25 percent to the GDP, thanks to Digital Indian initiatives and greater investment in technologies by businesses. “The technology sector is going to be USD 1 trillion opportunity in the next 5-7 years. You have around USD 400 billion of hardware, around USD 350 billion of IT, ITes and e-commerce and another $250 billion of telecommunications and IoT,” Deity Additional Secretary Ajay Kumar told PTI at IESA Vision Summit. According to Kumar, the sector is estimated to contribute between 20-25 per cent to India GDP. According to National Policy on Electronics 2012, India will be USD 400 billion electronics market by 2020. Government has received investment proposals worth Rs 1.14 lakh crore from 159 entities. He said that government is trying to spur the ecosystem through Digital India. “Except mobile phones, other devices have penetrated only about 6-10 per cent of Indian population be it laptop, washing machine, medical devices. In comparable countries the same is 62 per cent,” Kumar said. In last 10 months, he stated that major mobile companies have started making phones in India and manufacturing capacity of 9 million phones have been set up in the country.

Kerala stakes claim to defence industry business with a KINFRA Park in Palakkad
Source: Indiatechonline; February 5, 2016

A Defence Industry Park is slated to come up soon in Palakkad, Kerala. The Kerala Industrial Infrastructure obtained ‘Final Approval’ clearance from the cedntral Department of Industrial Policy & Promotion, to set up a KINFRA Defence Park at Ottapalam, Palakkad district as part of the Make in India- Make in Kerala Project.

The project is intended to create a Defence Park with all common infrastructure facilities for the component manufacturers of the defence Industry with Central Assistance. The scheme will be implemented by the Department of Industrial Policy and Promotion.

KINFRA has acquired 60 acres of land for setting up Defence Park at Ottappalam, adjacent to KINFRA SME Park. The Industrial units in the cluster will be given shared infrastructure facilities for innovative product development. KINFRA proposes to develop infrastructure facilities in the proposed Defence Park which includes dedicated power, continuous water supply, communication facilities, offering plug and play arrangement for easy start up of Industrial units at minimum cost and time. It is also being envisaged to create facility for instant global access through a state-of-the-art communication network.

Common infrastructure facilities will include:Tool Room, Environment Testing Facility, Training Facility, Warehouse, R&D, Incubation Center & Office Space, Quality Certification Centre.

Mouser Electronics associates with IESA – Company CEO & President Glenn Smith Pragmatic on the Indian Market
Source: Bisinfotech; February 5, 2016

The giant electronic component distributor, Mouser Electronics announces its membership with India Electronics and Semiconductor Association (IESA). With this membership, the company is committed to facilitate towards the development of India’s Semiconductor & ESDM ecosystem. The doyen Glenn Smith, Mouser President and CEO partook at the Inauguration of IESA Vision Summit, 2016.

While citing to the media on the Indian Market potential, Glenn said, “The Indian market is huge in every respect. India is now 10th in the world in factory output, and as of 2015, India along with a few others have graduated to the next stage. India is no longer considered developing by the International Monetary Fund, but is a newly industrialized country. India also is among the largest producers of engineers in the world, and as such Mouser is committed to a strong and growing presence in India. Our Branch in India continues to expand to address the needs for the newest products as well as production components for our customers throughout India. Manufacturing is important, but we will also remain focused on the needs of the Indian design engineer.”

‘Start-ups must come up with ideas for manufacturing sector’
Source: The Hindu Business Line; February 5, 2016

Start-ups in India should look at high knowledge areas such as core sciences and space technology, said Minister of State for Commerce and Industries, Nirmala Sitharaman. Addressing a gathering of around 300 delegates, which included members from the Indian Electronics and Semiconductor Association (IESA), Sitharaman asked the gathering to come up with ideas that can make a mark in manufacturing in areas such as Defence and agriculture. “As the technology landscape is evolving, value in manufacturing can get a leg up from start-ups in this area,” she said. Part of Sitharaman's concerns stems from the fact that around 80 per cent increasing reliance on imports that the country has to rely on for its electronics consumption needs. “ Electronics is the third biggest import after crude oil and gold,” said Sitharaman. According to IESA, demand for electronics is estimated to reach $400 billion by 2020, with production only meeting 25 per cent of this capacity or $100 billion. To meet this need, the Centre has set up 50 mobile manufacturing units, with a capacity to manufacture 9 million phones in a month, creating around 20,000 jobs. This has happened over the last 10 months, according to industry watchers. Till date, India has 3,500 manufacturing units – making everything from mixers to mobiles, with an additional 1.2 lakh units supporting these bigger-size manufacturing units. “That is a disconnect for a country of India's size as well as needs and startups in knowledge intensive areas can bring in more value. This will create the right balance,” she said. Steps taken by the government seems to be bearing some fruit. According to MN Vidyashankar, President, IESA, a former Principal Secretary in Karnataka, the government's move to earmark in excess of ₹10,000 crore for manufacturing start-ups and small-size companies is a step in the right direction.

Compiled by IESA Research

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