IESA WINWire Mar 19 - Mar 24, 2016
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Focus on reducing dependence on import of electronic goods: Union Minister Y S Chowdary
Source: ET Telecom; March 19, 2016

India should focus on reducing its dependence on import of electronic goods and create state-of-the-art capabilities to cater to world's growing markets, Union Minister Y S Chowdary today said. Inaugurating the second edition of India Electronics Expo, Minister of State for Science & Technology and Earth Sciences Chowdary said India's hardware exports pales into insignificance as compared to computer software and services exports which stand at over 100 billion USD. In the backdrop of Parliament passing the Aadhaar bill, he said, coupled with Make in India, Digital India and Skill India initiatives, the Aadhaar platform would not only connect the entire country but also sort out a host of governance issues and bring over one billion Indians to the mainstream. "Our focus should be on import substitution and generating state-of-the-art capabilities to cater to the world's growing markets," he said. Referring to small and medium enterprises (SMEs), Chowdary said manufacturing of electronics goods and components is ideally suited to them. "Electronics industry can flourish under the hub-and- spoke scheme... SME clusters can come up near major electronics manufacturing units. It would proliferate entrepreneurship and generate gainful employment," he said.

Indigenous products turn heads
Source: The Times of India; March 19, 2016

The President, in his inaugural address at the India Aviation Show 2016, asserted that India had 'taken a major leap in boosting manufacturing' with the Make In India' initiative. Proving him right were a breed of lesser-known manufacturers and suppliers who were found turning heads at the exhibition area with their 'indigenous' products and services. The country's first 'indigenous' tarmac coach brought out by Veera Vahana Udyog Pvt Ltd was prominently on display on Thursday. Products by The EIS Electronics (India) Pvt Ltd a supplier of electrical harnesses used by aircraft manufacturing giants like Airbus and Boeing - were also among several others displayed by participants seeking to 'Make in India'. "The Indian aviation sector has grown exponentially over time and the reduced costs of labour make it an appropriate destination for manufacturing," said Umesh Sidhra, director of Sai Aviotechnics, Mumbai-based aviation and Expressway Service Provider that specializes in building friction-testing machines, which are used by airports to perfect the friction required by an airplane to land without losing control. The company also manufactures speed and runway rubber removal machines, which, in addition to cleaning the runway, also use a recovery method to prevent debris from resettling on the runway. "Assembling and manufacturing a product in India can cut the cost by nearly 50 per cent. However, the products being manufactured in India are still not on par with those produced by foreign countries," he added.

Digital India: Cisco to invest over Rs 600 crore in India
Source: The Financial Express; March 19, 2016

ContentThe financial commitment of US $100 million (over Rs 600 crore) by Cisco includes an allocation of US $40 million (over 250 crore) to promote digital start-ups across the country. After the meeting of its executive chairman John Chambers with the Prime Minister Narendra Modi today in New Delhi, the US-technology giant Cisco said it will invest over US $100 million in India for promoting digitisation, start-up, skills development and digital education. According to Cisco official, the focus will be on next generation technologies such as security, cloud, and the Internet of Things (IoT) as well as digital plays in smart cities, financial services, healthcare and e-governance. The company has also set a goal of creating a pipeline of 250,000 skilled students in India by 2020. In order to achieve this, Cisco plans to open 6 innovation labs, 3 centres of expertise and funded university collaborations across different states. These announcements are in line with the company’s recent commitment to set-up a manufacturing unit in Pune for promoting Make in India initiative and India as an export hub. Also, on Thursday in Visakhapatnam during the launch of AP FiberNet, a project aimed at providing on-demand, affordable broadband connectivity of 2 to 15 Mbps for all households in Andhra Pradesh and 1 to 10 Gbps for all institutions by 2018, Cisco made several announcements towards driving fiber grid, IoT, and smart cities project in the state.

Make in India in the Eighties
Source: DNA; March 21, 2016

The ‘Make in India’ initiative during the Eighties, which resulted in remarkably rapid growth of the Electronics and IT sectors, had a quiet beginning unlike the present one which began as a magnificent high profile media event. It resulted in electronics manufacturing in the country to grow and log eight-fold growth during the period of just six years! The main driver for growth then was the landmark Electronic Policy announced in Parliament by Indira Gandhi on August 26, 1983, that abolished licensing for the consumer and industrial electronic sector. That was the beginning of the end of the license-permit raj. This revolutionary change was later followed by several well-thought-out policy measures ensuring the sustained growth of the electronics sector through the 80s. The results of scrapping licensing were impressive. From 1983 till 1990, India’s electronic industry output grew at an average annual rate of over 40 per cent! New brands like BPL, Sharp, Videocon, Onida, Uptron, HCL, ET&T, Wipro and others became strong competitors, making over 1.3 million colour television sets, calculators, Personal Computers etc.

More women to script success stories in startups
Source: The Financial Express; March 21, 2016

Entrepreneurship is buzzing in India with startups springing up by the day to capture the new business opportunities. And women are beginning to make their presence felt. Though small in number for now, their role is only expected to get bigger in the days to come. The country already has the presence of over 4,200 startups straddling the spaces of business-to-consumer (B2C) and business-to-business (B2B) with women as founders constituting around 9% of this group currently, according to information provided by Nasscom. There has been a 50% rise in number of women entrepreneurs between the years 2014 and 2015 with this segment receiving a cumulative investment of $168 million in the last one year, which was a 4x growth. Women as entrepreneurs are equally excited about their journey in the startup world and are resonating well with their targetted markets. Anvita Mehra, founder & CEO of Confidential Couture, created the startup in the pre-owned luxury segment when she realised that there was market potential for such fashion items available fair prices. Anvita while studying in UK and ardent fan of luxury items realised that she could buy these goods which are pre-owned and came within her budget. This led her to the launch of her startup Confidential Couture in 2014, which according to her has received good reception. “We are living in a world where women are getting empowered by the day. My experience as an entrepreneur has not been that difficult. If we walk with utmost confidence, nothing will stop us,”she said.

Industry-Academia Partnership to Explore Possibilities in Flexible Electronics
Source: Electronics maker; March 22, 2016

At the IESA CXO Conclave held in Bangalore today, Applied Materials, Inc. and IIT Kanpur announced plans for R&D collaboration in the area of flexible electronics. Applied Materials is now a member of the IIT Kanpur National Center for Flexible Electronics, and will explore R&D and commercialization opportunities in large-area flexible electronics. Flexible electronics is a rapidly emerging segment that is expected to gather pace in the next several years. Driving this growth will be advanced form-factor electronic devices with broad applications in various sectors, including military & defence, consumer electronics, healthcare & medical, and energy & power generation. The National Centre for Flexible Electronics (NCFlexE) was established as a joint initiative of the Department of Electronics and Information Technology (DeitY), Government of India and IIT Kanpur. The goal of this center is to address the country’s opportunity in the new market of large-area flexible electronics and catalyze the ecosystem for manufacturing in India. The center is currently seeking national and international collaborators interested in the use or manufacturing of microelectronic devices and those industries engaged in making printed products, chemical synthesis or equipment manufacturing. Industry-academia partnerships go a long way in building the right ecosystem for new markets. An example of a successful engagement that has transformed the traditional role of corporate involvement in university research is the strategic partnership between Applied Materials and IIT Bombay, which recently celebrated its 10-year anniversary.

India attracts over Rs 1.28 lakh crore in electronics manufacturing
Source: The Times of India; March 22, 2016

Total investments in electronics manufacturing sector in India, one of the world's largest consumer electronics market, has crossed Rs 1.28 lakh crore, communications and IT minister Ravi Shankar Prasad said on Tuesday. "When our government came (in 2014), the total investment in electronics manufacturing was around Rs 11,700 crore and as of two days ago it is Rs 128,000 crore plus," Prasad said. Government was working towards making India a hub for electronics manufacturing, in which the Centre and states have to play a crucial part, he added. Prasad said India is adopting technology fast and the country is likely to have half a billion internet users by the end of this year. "It took 2.5-3 years for internet users to go from 200 to 300 million. It has taken a year to reach 400 million and when internet service providers said we have reached 400 million, I was really surprised. I think the target of 500 million by 2017 ... maybe this will come by this year-end," he said. Speaking at the Digital India summit organized by Times Network here, the minister said the government's aim is to not only create a digital enabled society, but also a digitally-empowered and enlightened India. He further said Indians first watch technology, then they adopt it, then start enjoying it and then they become enlightened and empowered. Enumerating NDA government's achievements, Prasad said: "Today India has a billion plus mobile phone (users, 990 million have Aadhaar card. Government has saved close to Rs 50,000 crore by directly giving subsidy to Aadhaar-enabled bank accounts."

Make in India: OPPO to make 10 lakh 4G phones per month in India
Source: Business Insider; March 22, 2016

OPPO, the smartphone maker from China, has decided to start manufacturing 10 lakh-odd 4G phones a month at its upcoming Noida facility. The manufacturing process would start from August, as told by Mike Wang, CEO of OPPO Mobiles India. Even though the 4G smartphones would be designed in China, they would be manufactured in Noida after "local level customisation for the India market", Wang told ET. For the manufacturing process, OPPO Mobiles India has invested Rs 100 crore in the production facility situated in Noida. The names of the specific models that would be made in Noida were not revealed, but the 4G phones are said to be priced in the Rs 10,000-20,000 range. All the 4G phones made in Noida will be initially sold in the Indian market; however, in future, the production capacity can be exported to South Asian markets. OPPO's pact with Taiwanese contract manufacturer, Foxconn in India will need to be adjusted to make way for this new manufacturing process. "Foxconn would continue to manufacture smartphones for OPPO in India," said Wang, even after the Noida factory starts manufacturing. OPPO's decision to locally manufacture smartphones has come at a time when handset makers from around the world are either considering opening up manufacturing processes in multi-billion dollar opportunity in India, or have already started manufacturing locally.

India to Capture 20 Percent of IoT Market: Nasscom
Source: ELE Times; March 22, 2016

India aims to capture 20 per cent market share in Internet of Things (IoT), an emerging sector which would be worth $300 billion (roughly Rs.19,94,758 crores) by 2020, a top Nasscom official said. The IoT is driving the fourth wave of industrial revolution dramatically alerting manufacturing, energy, transportation, medical and other industrial sectors while emerging worldwide, Vice President of Nasscom (Industrial Initiative) K S Vishwanathan told reporters in Coimbatore. The global IoT business is expected to touch $300 billion by 2020, and India aims t capture 20 percent market share in another five years, he said. Vishwanathan was speaking at the launch of the Nasscom IoT Centre of Excellence, a joint initiative of Government of India, Department of Electronics and Information Technology (DeitY), along with TCS, Intel, Amazon Web Services and FORGE Accelerator. Depending on the success of Coimbatore hub, it was proposed to launch such centres in Pune, Baroda and Hyderabad, even as a pilot project is underway in Bengaluru, he said. To a query on the pace of setting up startups in view of additional tax being levied on them, Vishwanathan said, “nearly 1,000 startups are being added every year in India, which stands third in the world in terms of numbers and will continue to grow.”

Sachin Tendulkar invests in IoT firm Smartron India
Source: The Economic Times; March 22, 2016

Sachin Tendulkar has become a shareholder and brand ambassador of domestic original equipment manufacturer Smartron, the cricketer said in a statement on Tuesday. The company is set to launch a slew of smart devices and Internet of Things (IoT) products for consumer and enterprise markets in the first quarter of 2016-17. Tendulkar in the release said he being always fascinated by technology and wanted to support brands that are designed and engineered in India by local entrepreneurs and engineers which can ably compete in the global market. Smartron is headed by founder chairman Mahesh Lingareddy who is also the co-founder and CEO of Soft Machines Inc, a United Statesbased semiconductor company with operations in the US, India and Russia. It has research and development centres in Hyderabad and Bengaluru. Smartron is riding on the back of the IoT wave by innovating in the areas of smart, sensor, robotics, artificial intelligence, cloud and big data technologies to bring next generation smart devices, services and care, targeting consumer, enterprise, industrial and infrastructure markets. The company is funded by investors from the US, India and West Asia, among others.

Making Internet of Things more understandable
Source: The Economic Times; March 23, 2016

Content To make the Internet of Things (IoT) more understandable, media coverage has often focused on consumer applications, such as wearable health and fitness devices, as well as the automation products that create smart homes. Our research reveals considerable value in those areas. Yet, the more visible manifestations of IoT’s power shouldn’t distract executives from a core fact: business-to-business (B2B) applications will account for nearly 70% of the value that we estimate will flow from IoT in the next 10 years. We believe it could create $11.1 trillion a year globally in economic value in nine different types of physical settings. Nearly $5 trillion would be generated almost exclusively in B2B settings: factories in the extended sense, such as those in manufacturing, agriculture and even healthcare environments; work sites across mining, oil and gas, and construction; and, finally, offices. There’s also a global dimension to IoT’s B2B potential. Emerging markets, which often supply goods to final manufacturers, will be prime areas for IoT adoption. But over the next 10 years, the total economic impact from IoT will be greater in advanced economies, given the possibility of larger cost savings and higher adoption rates. However, an estimated 38% of IoT’s worldwide value may be generated in developing economies and, eventually, the number of IoT deployments there could surpass those in developed ones.

Applied Materials to undertake R&D in flexible electronics
Source: Hindu Business Line; March 23, 2016

Applied Materials plans to collaborate with IIT Kanpur to undertake R&D in flexible electronics.

Flexible electronics is a rapidly emerging segment that is expected to gather pace. Driving this growth will be advanced form-factor electronic devices with broad applications in various sectors, including military & defence, consumer electronics, healthcare & medical, and energy & power generation.

Om Nalamasu, senior vice president and CTO of Applied Materials, said: “As technologies become more complex, it is imperative for high-tech companies to increase their focus on innovation to achieve a competitive advantage."

Flexible electronics, an advanced form of electronics, has just started penetrating the consumer products market in the form of e-books, signage, smartphones, and e-paper applications, and is also being deployed in military applications and the overall market is expected to gain momentum by 2017, according to MN Vidyashankar, President, IESA.

Deepak Gupta, Professor, IIT Kanpur, added that this could result in more investment coming into flexible electronics manufacturing worldwide.

KKR to buy Airbus defence electronics unit for $1.2 billion
Source: Business Standard; March , 2016

Buyout firm KKR & Co agreed to buy Airbus Group SE's defence electronics business for euro 1.1 billion ($1.2 billion) as the European planemaker reorganises its military and space operations.

Airbus said it may keep a minority stake in the unit during the transition, according to a company statement Friday. The deal, which requires regulatory approval, is expected to close in the first quarter of next year, Airbus said.

The KKR pact, part of an overhaul announced more than a year ago, "is an excellent outcome," Bernhard Gerwert, chief executive officer of Airbus's defence and space division, said in the statement.

The acquisition extends KKR's reach into aviation, following an investment of more than $100 million in 2014 in the helicopter unit of Lease Corporation International.

Airbus said in September 2014 it would scale back ambitions for its defence and space business to focus on military aircraft, missiles, space launchers and satellites. As part of the overhaul, the company said it would sell half a dozen businesses and cut thousands of jobs.

Producers responsible for collection of e-waste: government
Source: Livemint; March 24, 2016

The environment ministry on Wednesday notified norms for producers of electronic goods, making them responsible for collection of e-waste generated.

Called the E-Waste Management Rules 2016, the norms will replace those notified in 2011.

The new rules also have provision for financial penalty for damage caused to ecology and any third party due to improper management of e-waste.

They also bring producers under the so-called extended producer responsibility (EPR) concept. EPR in waste management aims to include the environmental costs associated with goods throughout their lifecycle into the prices of products.

Under EPR, producers will have to set targets over the next few years for collection of e-waste.

“Norms have been made more stringent and reflect the government’s commitment to environmental governance.

Producers have been made responsible for collection of e-waste and for its exchange,” said environment minister Prakash Javadekar while announcing the new rules on Wednesday.

Compiled by IESA Research

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