Telecom Equipment

Mobile Manufacturing Hub to come up near Tirupati

Indian Cellular Association has long been scouting for land to set up a hub for manufacturing mobile phones along with other facilities. Now, Sri Venkateshwara Mobile and Electronics Manufacturing Cluster is being set up in Tirupati near Renigunta in Andhra Pradesh and the foundation stone has been laid by the prime minister of India in October 2015. Micromax, Celkon, Karbonn and Lava will initially invest Rs. 20,000 million in phases. Around 120 acres of land has been allotted for the hub by the state government.
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Telecom Equipment

India contributes around 7% in market share in global telecom equipment market. However, much of it is dominated by foreign players. Indian companies share is only 10% in core telecom equipment market. It is dominated by Huawei, ZTE, Ericsson, Nokia Siemens, and Alcatel . India spends around Rs. 4600 billion towards telecom equipment. India had attempted foreign players to set up shop in India or by introducing a local manufacturer clause in tenders to promote local manufacturing. However business lobbies in US and Europe have protested to water down such conditions. Further making equipment in India needs to be on larger scale to get cost advantage. China holds the edge with government low interest loans, low power tariff and comparatively cheaper labour cost than India. Huawei which
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