According to official data, India saw its FDI in the computer software and hardware sector surpassed by the services sector, signaling a diminished momentum to attract foreign electronics manufacturers as India is developing its manufacturing ecosystem.
In a recent panel discussion at the DIGITIMES Supply Chain Summit 2023, industry leaders explored the ascension of the Global South and the transformative effects of the China+1 trend, focusing on India's burgeoning role. The panel featured Colley Hwang, Chairman and President of DIGITIMES, Ajai Chowdhry, Co-founder of HCL and Chairman of EPIC Foundation, and Santosh Pai, Legal Partner at Dentons Link Legal.
Thanks to premiumization, Apple led the Indian tablet market, with its biggest rivals, Samsung Electronics and Lenovo, falling behind. However, The growth of India's tablet shipments may remain limited in 2023.
In the ever-evolving landscape of global investments, India stands as the 7th top recipient of foreign direct investments (FDI) in 2022. For over two decades, Santosh Pai, a seasoned legal partner at Dentons Link Legal, has been a guiding force for international clients eyeing the Indian market. As India rolls out incentives to attract foreign companies, Pai shares compelling reasons for Taiwanese and international businesses to explore India and navigate the potential challenges.
India-based EMS provider Kaynes Technology plans to set up a subsidiary for outsourced semiconductor assembly and testing (OSAT) business, another Indian company venturing into semiconductor manufacturing.
Rather than being a minority owner of Tata's iPhone manufacturing business, Wistron sold 100% of Wistron InfoComm Manufacturing (India) after an announcement to exit its iPhone manufacturing business in India in late October.
As premium smartphones have received better demand in India for the past few years, the premiumization, coupled with vendors' shift in focus to higher-priced segments, has transformed India's smartphone landscape, which saw Apple's rise and may witness the lowest market concentration in 2023.
As part of the global diversification of electronics manufacturing away from China and the Quad's efforts to build a resilient supply chain, India has witnessed a wave of investments or initiatives, a trend that may benefit India in upgrading the electronics manufacturing ecosystem.
Supportive policies and geopolitical shifts have benefited India as an emerging manufacturer of photovoltaic (PV) products. The country's manufacturing capacity for these products may more than double in an industry that has been dominated by Chinese manufacturers so far.
5G handsets have become the bright spot in India's smartphone market with moderate demands. According to CMR's report, in the third quarter of 2023, the share of 5G smartphone shipments in India surged to 57%, reflecting an impressive year-over-year growth of 78%. In this segment, Samsung claimed the top position with a 23% market share, closely trailed by Vivo with 16%. In contrast, the overall smartphone shipment growth remained flat in the quarter.