India’s CCTV Market Undergoes Structural Reset as Domestic Firms Gain Ground
India’s CCTV market is entering a major transition phase as stricter government security and certification norms reshape the competitive landscape, effectively pushing Chinese internet-connected camera makers such as Hikvision and Dahua out of the fast-growing IP camera segment from April 1. With the market estimated at nearly $2 billion and projected to expand at a 15–16 percent CAGR, Indian brands including CP Plus, Qubo, Prama, Matrix, and Sparsh are rapidly absorbing the vacated share by shifting to Taiwanese chipsets, localized firmware, and compliant supply chains. The most significant disruption is visible in the IP camera segment, which contributes nearly three-fourths of total market value. Industry executives say this is less a sudden shock and more the culmination of a year-long transition triggered by India’s April 2024 security framework, which bars critical components such as SoCs, memory, and firmware from countries sharing land borders with India and mandates STQC certification across the supply chain.
The shift is already translating into strong gains for domestic players. Indian companies now control more than 80 percent of the market, while premium global brands such as Bosch and Honeywell continue to dominate the high-end segment. CP Plus says its standalone share has crossed 45 percent, while Hero Electronix-owned Qubo has reported a tenfold surge in sales over the past year, driven by both regulatory tailwinds and rising consumer adoption. Although CCTV shipments may decline by around 10 percent in FY2025–26 due to certification-led supply disruptions and semiconductor shortages, the market is expected to rebound strongly in FY2026–27 as supply stabilizes and pent-up demand returns. This development is highly relevant for non-Indian companies as it signals that future participation in India’s surveillance ecosystem will increasingly depend on trusted sourcing, local compliance, secure firmware architecture, and resilient semiconductor partnerships rather than price-led competition alone, creating opportunities for global component suppliers, premium security brands, and technology partners aligned with India’s trusted electronics framework.
Editor’s Note: India’s $2 billion CCTV market is undergoing a structural reset as government security norms push Chinese players out, enabling domestic firms like CP Plus, Qubo, Prama, Matrix, and Sparsh to dominate with compliant supply chains and Taiwanese chipsets. While shipments may dip in FY2025–26 due to certification and semiconductor shortages, Indian brands now control over 80 percent of the market, with strong rebound expected in FY2026–27 as demand stabilizes.
Record Foreign Outflows Deepen Pressure on Indian Equities in March
Foreign institutional investors (FIIs) sharply accelerated their exit from Indian equities in March 2026, offloading shares worth ₹1.14 lakh crore and pushing total 2026 outflows to ₹1.27 lakh crore, marking one of the steepest monthly selloffs in recent years. The sustained withdrawal reflects a broader global risk-off environment shaped by geopolitical tensions in West Asia, weakness across global equities, rupee depreciation, concerns around remittance inflows from the Gulf, and the impact of elevated crude oil prices on India’s growth outlook and corporate earnings. The selloff also mirrors a wider retreat from emerging Asian markets, with foreign investors reducing exposure across key regional economies amid rising uncertainty.
The heavy outflows put visible pressure on Indian benchmark indices, ending a brief market recovery as sentiment weakened further after stalled diplomatic developments in the Iran-US situation. Financials, automobiles, and consumer-facing stocks were among the worst hit, while domestic institutional investors helped cushion the fall through continued buying support. A meaningful reversal in flows is likely to depend on easing geopolitical stress and softer crude prices in the near term. For non-Indian companies, especially multinational investors, global funds, commodity-sensitive businesses, and treasury teams, the development is significant because it underscores how quickly geopolitical shocks and oil-linked macro risks can alter capital flows, valuations, and investment strategy across one of Asia’s most important emerging markets.
Editor’s Note: Foreign institutional investors pulled out ₹1.14 lakh crore from Indian equities in March 2026, driving total yearly outflows to ₹1.27 lakh crore amid global risk-off sentiment, rupee weakness, and high crude prices. The selloff hit financials, autos, and consumer stocks, with domestic investors cushioning the fall, and a reversal hinging on easing geopolitical tensions and softer oil prices.
Keysight Expands Global Supply Chain with New Test Equipment Manufacturing Base in Chennai
Keysight Technologies has announced plans to begin local manufacturing of test and measurement hardware in Chennai, marking its first hardware production footprint in India and a significant expansion of its global supply chain strategy. The facility will be rolled out in phases, initially focusing on high-precision equipment used in mission-critical sectors such as semiconductors, aerospace and defence, AI infrastructure, and advanced wireless technologies. Unlike a limited assembly operation, the Chennai site is designed as an end-to-end manufacturing base covering component sourcing, PCB assembly, calibration, testing, quality control, and shipping. The move strengthens India’s role not only as a domestic demand center but also as a supply base for international markets, while helping reduce procurement timelines for customers across government R&D, industrial applications, and academic research.
The expansion comes amid rising demand for advanced validation and testing systems as India accelerates investments under Make in India, Semicon India, and the National Quantum Mission. Chennai-based production will support applications ranging from semiconductor design validation and production testing to radar, satellite, and electronic warfare systems, while also serving research institutions working in quantum and frontier technologies. For non-Indian companies, this development is particularly relevant as it highlights India’s growing emergence as a strategic manufacturing and engineering hub for high-value electronics, offering multinational technology firms a viable route to diversify supply chains, improve resilience, serve Asia-Pacific demand faster, and align with government-backed incentives tied to semiconductors, defence electronics, AI, and research infrastructure.
Editor’s Note: Keysight Technologies is setting up its first India-based hardware manufacturing facility in Chennai, creating an end-to-end production hub for advanced test and measurement equipment across semiconductors, aerospace, defence, AI, and wireless technologies. This expansion strengthens India’s role as a global electronics supply base, aligning with national initiatives and offering multinational firms a resilient, diversified route to serve Asia-Pacific demand.
Altos Deepens India AI Infrastructure Bet with Local Assembly, R&D and IPO Roadmap
Altos Computing, an Acer group company, is sharpening its India strategy around the next phase of enterprise AI adoption as organizations move from pilot projects to production-scale deployments. The company has launched a Make-in-India AI server portfolio, including the BrainSphere R300 AI Series, built through an EMS-led model with final assembly in Puducherry and integrated with its in-house software stack for deployment-ready systems. Rather than focusing only on server hardware, Altos is positioning itself as a full-stack AI infrastructure provider by combining compute, storage, networking, workload management software, GPU virtualization, and analytics into plug-and-play solutions for enterprise, government, research, defense, education, and hyperscale use cases. The company is also prioritizing data sovereignty and on-premises AI environments, particularly for regulated sectors, while helping customers improve GPU utilization and reduce total cost of ownership through perpetual software licensing bundled with the systems.
Beyond current operations, Altos is outlining a long-term India roadmap that includes local R&D, engineering expansion, centers of excellence in Bangalore, a broader partner ecosystem, and even a potential India IPO alongside its Taiwan listing plans. The strategy reflects a shift from pure product sales to lifecycle-driven, consultative AI deployments, where partners support workload design, financing, deployment, optimization, and end-of-life recycling. As demand accelerates across government, SMEs, education, and defense, the company expects India to become a critical innovation and deployment hub for production AI workloads. For non-Indian companies, this move is especially relevant because it reinforces India’s growing role as a strategic base for sovereign AI infrastructure, local engineering talent, and scalable deployment ecosystems, offering global AI vendors, cloud-adjacent firms, GPU suppliers, and enterprise software companies a strong opportunity to build partnerships, localized solutions, and supply-chain resilience in one of the fastest-growing AI markets.
Editor’s Note: Altos Computing, part of Acer, is expanding its India presence with locally assembled AI servers, full-stack infrastructure solutions, and a focus on data sovereignty for regulated sectors. Its long-term roadmap includes R&D centers, ecosystem growth, and a potential India IPO, positioning the country as a key hub for sovereign AI infrastructure and production-scale deployments.
India’s Data Centre Industry Set for 4 GW Leap by FY30 on AI-Led Demand Surge
India’s data centre sector is poised for a major scale-up, with total capacity expected to reach nearly 4 GW by FY30, backed by an estimated ₹1.5 lakh crore investment over the next five years. The projected expansion represents a sharp jump from the current trajectory, with co-location capacity already having doubled to 1.2 GW between FY22 and FY25. Strong demand from hyperscale cloud providers, enterprise customers, and the BFSI sector continues to keep absorption levels above 90 percent, reinforcing confidence in the sector’s long-term growth visibility. In addition to core infrastructure spending, tenants are expected to invest nearly twice as much on IT equipment, taking the broader market opportunity to ₹3–4 lakh crore. AI-led workloads are expected to be the biggest catalyst for the next growth phase, helping the industry target a revenue CAGR of 24 percent during FY26–30 with steady-state margins of 40–42 percent.
Even as the growth outlook remains strong, the sector is facing rising costs and execution challenges, with data centre construction costs climbing 50–70 percent in recent years due to higher land prices and advanced cooling requirements. Longer commissioning timelines, regulatory clearances, and the need for stronger power infrastructure are emerging as critical factors that will determine how quickly the 4 GW target can be achieved. Providers are also increasingly adopting renewable energy and green data centre practices to improve efficiency and sustainability. For non-Indian companies, this expansion is highly relevant because it positions India as one of the world’s fastest-growing destinations for hyperscale cloud, AI compute, semiconductor-adjacent infrastructure, cooling technologies, renewable integration, and GPU ecosystem investments, creating major opportunities for global cloud firms, equipment vendors, chipmakers, energy companies, and infrastructure funds looking to diversify digital capacity in Asia.
Editor’s Note: India’s data centre capacity is projected to reach nearly 4 GW by FY30, driven by ₹1.5 lakh crore in investments and surging AI-led demand from hyperscale, enterprise, and BFSI customers. Despite rising construction costs and infrastructure challenges, the sector is expected to grow at a 24 percent CAGR with strong margins, positioning India as a global hub for cloud, AI compute, and green data centre investments.
India Scales Green Hydrogen Push with 8,000 TPA Capacity and Faster Mission Spending
India’s green hydrogen ambitions are beginning to translate into early capacity creation under the National Green Hydrogen Mission, with around 8,000 tonnes per annum of production capacity commissioned as of February 2026 and a long-term target of 5 million metric tonnes per annum by 2030. Government fund utilization has also accelerated sharply, rising from just ₹0.11 crore in FY24 to ₹46.26 crore in FY25 and ₹203.75 crore in FY26 so far, indicating faster implementation momentum across pilot projects, tenders, and ecosystem development. Competitive bidding has discovered green hydrogen prices at ₹397 per kg for Indian Oil Corporation and ₹387 per kg for supplies to Bharat Petroleum and Hindustan Petroleum refineries, offering an important benchmark for the emerging domestic market.
A key cost driver remains renewable power, with solar and wind accounting for nearly 50–70 percent of total production cost, or roughly ₹235 per kg, underscoring the importance of cheap clean electricity in making green hydrogen commercially viable at scale. The rising pace of spending and capacity commissioning suggests India is moving from policy intent toward execution, particularly in refining, industrial decarbonization, and export-oriented derivative opportunities. For non-Indian companies, this is highly relevant because it positions India as a major future demand center for electrolyzers, renewable power integration, storage systems, engineering services, and hydrogen offtake partnerships, creating opportunities for global energy firms, technology suppliers, infrastructure investors, and export-focused industrial players looking to participate in one of the world’s fastest-scaling green hydrogen ecosystems.
https://www.pib.gov.in/PressReleasePage.aspx?PRID=2245157®=3&lang=1
Editor’s Note: India has commissioned 8,000 TPA of green hydrogen capacity under its National Mission, with fund utilization rising sharply to ₹203.75 crore in FY26 and competitive prices discovered around ₹387–397 per kg. With renewable power costs driving viability, India is moving from policy intent to execution, creating major opportunities for global firms in electrolyzers, clean energy integration, and hydrogen partnerships.
Kaynes OSAT Plant Launch in Sanand Signals India’s Fast-Track Semiconductor Ambitions
Prime Minister Narendra Modi inaugurated Kaynes Technology’s semiconductor OSAT facility in Sanand, Gujarat, calling the current decade India’s “techade” and positioning the project as a major milestone in the country’s semiconductor mission. Built at an estimated cost of ₹3,300 crore, the state-of-the-art outsourced semiconductor assembly and test facility adds large-scale chip packaging and testing capabilities with a daily production capacity of about 6.3 million chips. The Prime Minister said the launch reinforces India’s emergence as a reliable semiconductor supplier, with intelligent power modules produced in Sanand set to serve global customers, including the United States. He linked the facility to India’s larger semiconductor vision, noting that the domestic semiconductor market is targeted to double from ₹4.5 lakh crore to ₹9 lakh crore by 2030, while 10 major projects worth ₹1.60 lakh crore are already underway across six states under the Semiconductor Mission.
The launch also strengthens Gujarat’s rapid rise as India’s semiconductor nucleus, with Sanand and Dholera increasingly positioned as a Silicon Valley-style chip ecosystem alongside recent projects such as Micron Technology’s facility. Leaders highlighted that the plant moved from foundation to commercial production in just 14 months, underscoring India’s fast execution capability and the momentum toward Semiconductor Mission 2.0, which aims to build a full-stack ecosystem spanning OSAT, fabs, materials, gases, machinery, design talent, and critical minerals supply chains. For non-Indian companies, the development is highly relevant because it signals India’s emergence as a strategic alternative node in the global semiconductor value chain, offering multinational chip firms, OSAT partners, power electronics companies, equipment suppliers, EV and AI hardware makers, and critical mineral investors a rapidly scaling manufacturing base with strong policy backing, faster time-to-market, and growing access to skilled engineering talent.
https://cmogujarat.gov.in/en/latest-news/pm-inauguration-kaynes-semicon-osat-plant-sanand
Editor’s Note: Kaynes Technology has launched a ₹3,300 crore semiconductor OSAT facility in Sanand, Gujarat, with a daily capacity of 6.3 million chips, marking a major milestone in India’s semiconductor mission and rapid execution capability. The project strengthens Gujarat’s role as a semiconductor hub and signals India’s emergence as a strategic global node, offering multinational firms opportunities in chip packaging, power electronics, EVs, AI hardware, and critical minerals.