Tata Electronics Acquires 60% Stake in Pegatron India, Strengthening Apple Supply Chain
In a major boost to India’s electronics manufacturing sector, Tata Electronics Pvt Ltd (TEPL) has acquired a controlling 60% stake in Pegatron Technology India, a subsidiary of Taiwan’s Pegatron Corporation. This acquisition solidifies Tata’s role as a key Apple supplier and marks its second major deal in the industry following its purchase of Wistron’s India operations in March 2024. Tata Electronics plans to rebrand Pegatron India while continuing to deliver top-tier electronics manufacturing services (EMS). The move aligns with Tata’s broader ambitions in semiconductor and electronics production, with major investments in India’s first semiconductor fabrication facility in Gujarat and a semiconductor assembly unit in Assam.
For global companies, this acquisition signals India’s growing importance in electronics supply chains. With shifting global manufacturing trends, Tata Group’s rapid expansion presents new opportunities for international firms looking to diversify production away from China. Tata’s planned creation of 500,000 manufacturing jobs and its push into semiconductors, EVs, and batteries reinforce India’s position as an emerging hub for advanced electronics, making it a strategic destination for investment and partnerships.
Editor’s Note: Tata Electronics has acquired a 60% stake in Pegatron Technology India, strengthening its position as a key Apple supplier and expanding its role in India’s electronics manufacturing sector. The acquisition aligns with Tata’s broader ambitions, including investments in semiconductor facilities and a semiconductor assembly unit. For global companies, this move highlights India’s growing role in electronics supply chains, presenting opportunities for diversifying production and forming strategic partnerships.
Taiwan Backs ‘Make in India’ with Advanced Manufacturing Technologies at IMTEX 2025
Taiwan has reaffirmed its commitment to India’s manufacturing growth, with Richard Chen, Director General of the Taipei Economic and Cultural Centre (TECC) in Chennai, emphasizing the country’s support for the ‘Make in India’ initiative. Speaking at IMTEX 2025, a premier global machine tool exhibition in Bengaluru, Chen highlighted Taiwan’s role in providing cutting-edge automation and machine tool solutions to enhance efficiency and competitiveness in Indian industries. The Taiwan Excellence pavilion at the event features next-generation manufacturing tools from 13 leading Taiwanese brands, aimed at boosting precision, automation, and sustainability in India’s industrial sector. The Federation of Karnataka Chambers of Commerce and Industry (FKCCI) also expressed eagerness to collaborate with Taiwanese initiatives, fostering knowledge exchange and joint ventures to accelerate industrial growth.
For global manufacturers, Taiwan’s deeper engagement with India signals new opportunities for cross-border collaboration and investment in advanced industrial solutions. As India continues its transformation with Industry 4.0 and IoT-driven automation, foreign companies looking to expand into the Indian market can benefit from Taiwan’s technological expertise. The partnerships emerging from IMTEX 2025 reinforce India’s position as a rapidly evolving hub for high-tech manufacturing, making it a strategic destination for companies seeking innovation-driven growth.
Editor’s Note: At IMTEX 2025, Taiwan reaffirmed its support for India’s ‘Make in India’ initiative by showcasing advanced automation and machine tool solutions aimed at enhancing efficiency and sustainability in Indian industries. Taiwan’s growing engagement with India presents new opportunities for global manufacturers to collaborate and invest in high-tech industrial solutions, making India an attractive destination for innovation-driven growth.
Citi Predicts Stronger Tech Fundraising in Asia, Driven by AI and India-Taiwan Growth
Citi expects a surge in tech fundraising across Asia in 2025, fueled by advancements in artificial intelligence and strong investment activity in India and Taiwan. The Wall Street bank, which led tech fundraising in Asia outside Japan, projects at least a 10% rise in fundraising volumes in the technology, media, and telecom sector, surpassing the $70 billion raised in 2024. AI-driven funding, including investments in hardware supply chains and digital infrastructure such as data centers and fiber networks, will continue to dominate capital markets, according to Ho-Yin Lee, Citi’s Asia investment banking head for Technology & Communications. He also highlighted India’s strong deal pipeline and Taiwan’s steady growth in hardware supply chain investments, while noting that Hong Kong may see pending IPOs return to market.
For global investors, the shifting dynamics in Asian fundraising present new opportunities amid China’s declining market influence, where fundraising dropped 74% in 2024. As India and Taiwan emerge as key tech investment hubs, foreign companies can benefit from engaging in AI infrastructure, semiconductor supply chains, and digital transformation projects in the region. With Asia poised for accelerated growth in tech financing, firms seeking expansion in AI and digital infrastructure should closely track developments in these rapidly growing markets.
https://www.reuters.com/technology/asian-tech-fundraising-expand-10-2025-says-citi-2025-01-23
Editor’s Note: Citi projects a 10% rise in tech fundraising across Asia in 2025, driven by AI advancements and strong investment activity in India and Taiwan. AI infrastructure, hardware supply chains, and digital transformation will lead the charge, with India and Taiwan emerging as key investment hubs. This forecast is a valuable read for those closely monitoring developments in the tech and startup sectors.
AI GPU Competition Nears Conclusion as MeitY Reviews Financial Bids
The Indian government has shortlisted ten companies for the next phase of its IndiaAI Mission, a large-scale initiative aimed at strengthening the country’s AI infrastructure. The selected firms, including Tata Communications, Jio Platforms, Yotta Data Services, and E2E Networks, advanced past the technical evaluation stage in the bidding process for procuring 10,000 graphics processing units (GPUs). The Ministry of Electronics and IT (MeitY) will open the financial bids on Wednesday, with the L1 bidder set to be announced shortly after. Once selected, other companies will be given the opportunity to match the lowest bid price and provide compute-as-a-service under the same terms.
For global companies, India’s AI infrastructure expansion presents significant collaboration and investment opportunities. With the country rapidly scaling its cloud computing and AI capabilities, international firms involved in AI hardware, data centers, and compute services may find a growing market in India. As AI adoption accelerates worldwide, India’s push to enhance its GPU-powered infrastructure could also contribute to a more competitive and diversified global AI ecosystem.
Editor’s Note: The Indian government has shortlisted ten companies, including Tata Communications and Jio Platforms, for the next phase of its IndiaAI Mission to strengthen the country’s AI infrastructure by procuring 10,000 GPUs. The Ministry of Electronics and IT (MeitY) will review financial bids and announce the L1 bidder, with opportunities for other firms to match the price. For global companies, India’s expanding AI infrastructure presents key opportunities for investment and collaboration in AI hardware, data centers, and compute services.
India’s EMS Sector Heads Toward Duopoly as Tata, Dixon Dominate Market
India’s electronics manufacturing services (EMS) industry is poised for consolidation and heightened price competition, with analysts predicting an eventual duopoly between Tata Electronics and Dixon Technologies. With its strong financial backing, Tata is well-positioned to negotiate favorable supplier deals, potentially lowering manufacturing costs and increasing competition with Dixon, which became India’s largest EMS provider for mobile phone production in Q3 2024. As Tata expands beyond Apple and seeks deals with brands like Xiaomi and Oppo, smartphone makers are expected to use its presence to negotiate better pricing from existing suppliers. This intensified rivalry could drive further consolidation, as smaller EMS players look for strategic partnerships to remain competitive.
For global electronics firms, India’s evolving EMS landscape presents both challenges and opportunities. The growing dominance of Tata and Dixon signals a more mature, price-competitive market that could benefit international smartphone brands seeking cost-efficient, high-quality manufacturing solutions in India. As India strengthens its position as a global manufacturing hub, companies involved in semiconductors, components, and supply chain logistics may find valuable collaboration prospects within this rapidly expanding ecosystem.
Editor’s Note: India’s EMS sector is heading toward a duopoly between Tata Electronics and Dixon Technologies, driving price competition and potential consolidation as both companies expand their reach. Tata’s entry into new smartphone markets like Xiaomi and Oppo intensifies rivalry with Dixon, creating opportunities for better pricing and more strategic partnerships. This report is crucial for foreign companies looking to understand the evolving EMS landscape in India and explore collaboration opportunities in a competitive, cost-effective market.
India’s Human Rights Watchdog Orders Fresh Probe Into Foxconn Hiring Practices
India’s National Human Rights Commission (NHRC) has criticized labor officials for failing to thoroughly investigate allegations of employment discrimination at Foxconn’s iPhone assembly plant in Tamil Nadu. Following a Reuters investigation that found the manufacturer excluded married women from assembly jobs except during high-production periods, the NHRC ordered federal and state officials to re-examine the company’s hiring practices. While labor authorities initially reported that 6.7% of the 33,360 women employees at the plant were married, the NHRC ruled that their investigation lacked scrutiny of hiring documents and failed to address whether married women were systematically excluded at the recruitment stage. The commission directed officials to conduct a thorough inquiry within four weeks, emphasizing that the reports were submitted in a “routine and casual manner.”
For global businesses, the NHRC’s intervention highlights the growing regulatory scrutiny on labor practices in India, a key hub for electronics and smartphone manufacturing. As Apple and Foxconn expand their India operations, compliance with labor laws and anti-discrimination policies will be critical for maintaining their reputations and securing government support. The case also serves as a cautionary tale for multinational corporations operating in emerging markets, underscoring the importance of ensuring ethical hiring practices and adhering to local and international labor standards to avoid reputational and legal risks.
Editor’s Note: India’s National Human Rights Commission (NHRC) has ordered a fresh investigation into Foxconn’s hiring practices at its Tamil Nadu iPhone plant after allegations of employment discrimination against married women. The NHRC criticized labor authorities for failing to thoroughly examine hiring documents and directed officials to conduct a more detailed inquiry within four weeks. This case highlights the increasing regulatory scrutiny on labor practices in India, urging global companies to ensure ethical hiring practices to avoid reputational and legal risks.
Reliance to Build World’s Largest Data Centre in Gujarat, Partners with Nvidia for AI Push
Reliance Industries chairman Mukesh Ambani is spearheading the construction of the world’s largest data centre in Jamnagar, Gujarat, as part of India’s ambitious artificial intelligence (AI) expansion, Bloomberg reported on January 24. The project, though lacking official details, is expected to significantly enhance India’s AI capabilities and position the country as a global AI hub. At the Nvidia AI Summit India 2024, held in Mumbai from October 23-25, Nvidia CEO Jensen Huang announced a strategic partnership with Reliance to develop AI infrastructure in India. Huang emphasized that India, once primarily a software exporter, is now poised to become a major AI exporter, leveraging its technological expertise, vast data resources, and advanced AI infrastructure.
For global companies, this development signals India’s rising influence in AI, presenting opportunities for collaboration and investment. Ambani highlighted India’s potential to become one of the world’s largest intelligence markets, with millions of Indians delivering AI services globally. This shift could reshape the AI landscape by offering cost-effective, high-quality AI solutions at scale. For non-Indian companies, tapping into India’s AI ecosystem could mean access to a rapidly growing talent pool and cutting-edge AI infrastructure, making India a key player in the next phase of the AI revolution.
Editor’s Note: Reliance Industries is building the world’s largest data center in Gujarat to boost India’s AI capabilities, in partnership with Nvidia to develop AI infrastructure. This project positions India as a global AI hub, with the potential to become a major AI exporter driven by advanced infrastructure and vast data resources. For foreign companies, this development offers significant opportunities to collaborate, access a growing talent pool, and leverage cutting-edge AI infrastructure in one of the fastest-growing AI markets.