With the Coronavirus in China showing no sign of abating, and parts of the country being stranded under quarantine, India’s electronics industry is fearing supply disruptions, production curtailment, as well as a negative impact on prices, revenue, product launches and local manufacturing. If the situation prolongs, the industry is bound to take a hit by March, said experts. The Indian electronics industry, which relies heavily on China ― the world’s second-largest economy ― for components, sub-assemblies and even full products, is gripped with a sense of foreboding about the impact of the novel coronavirus. Companies and industry bodies that BusinessLine spoke to said that alternate countries for these supplies or any other solution seems unlikely to transpire. They said they are assessing the situation and mulling what can be done.
(BusinessLine, Feb 13, 2020)
Sales growth of refrigerators, ACs and washing machines in 2019 was the best since demonetisation, signalling a revival in discretionary purchases and kindling hopes that the economy is on the mend. Volume sales in the overall consumer electronics and major domestic appliances market grew 9% year-on-year in 2019 against 1% in 2018 and 4% in 2017, as per data released by GfK India. Industry executives attributed the revival largely to pentup demand. Panasonic India CEO Manish Sharma said green shoots of consumption revival are visible now, with growth improving quarter-on-quarter. “Products such as ACs, refrigerators, washing machines and smartphones have become necessities,” he said. Brian Bade, CEO at India’s largest smartphone and electronics retailer Reliance Digital, said there is improvement in consumer sentiment. “Average billing size has gone up, as has same-store growth,” he said. Smartphone sales growth in 2019 took a marginal beating over 2018, but it was still better than 2016 and 2017, GfK data showed. Industry executives attributed this to lack of compelling product innovation in smartphones. At the same time, television sales in 2019 declined 2% due to a shift towards audio-visual consumption over smartphones.
(ET, Feb 13, 2020)
The outbreak of the novel coronavirus in China is causing a global alarm. So far, the death toll in China has risen to 909 and almost 40,185 people have been declared affected (which may not be the true number). Coronavirus cases have been detected in other countries, including in India. The consequences of the outbreak for China’s economy, its authoritarian leadership, the global economy and for India deserve examination. Given China’s massive global economic footprint, the millions of Chinese that travel abroad for business or as tourists and its reverse, the numerous Chinese students in the West, the thousands of foreign companies operating in China, and the sizeable expatriate population in the country, the impact of the epidemic is beginning to be felt, without a crisis point being reached as yet. The Chinese economy has been hit, with reports about massive closure of outlets of Starbucks, McDonald’s, KFC, Pizza Hut, Ikea stores, Uniqlo shops, Disneyland parks and cinemas affecting consumption. With several countries suspending flights to China (including Air India) and from China, cancelling e-visas for the Chinese by India, six of eight airlines in Africa stopping flights, Russia closing its border in the east and only Aeroflot allowed to fly to China, with domestic travel groups in China prohibited, the travel industry has taken a blow.
(Daily, Feb 11, 2020)
The the Centre has planned a very large canvas for electronics manufacturing, Finance Minister Nirmala Sitharaman said at a recent post-Budget meet here with industrialists, scholars and journalists. Responding to a query from BusinessLine, she said: “We are supportive of companies starting high-skilled component manufacturing in the country.” Currently, while companies conduct large-scale manufacturing of smartphones and electronic devices in the country, most of it is assembly-oriented, and not focussed on core components and R&D. The Budget has proposed a new scheme to promote the manufacturing of smartphones, electronic devices and semiconductors.However, the implementation of the scheme will hinge on how companies are incentivised to begin manufacturing in the country. Industrialists and economists voiced their concerns about the Budget to Sitharaman and the panel of secretaries. Expressing the worries of high networth individuals over the burden of dividend distribution tax shifting to investors, Motilal Oswal, MD of Motilal Oswal Financial Services, said ‘high-level’ shareholders could pay tax at the rate of 43 per cent under the new regime, which was worrisome.
(BusinessLine, Feb 11, 2020)
The number of lithium-ion batteries imported by India quadrupled to 713 million in the last fiscal year, from 175 million in 2016-17. In terms of value, imports more than tripled to $1.23 billion (Rs8,777 crore) in 2018-19 from $384 million two years earlier. During the first eight months of this fiscal year – from April to the end of November – lithium battery imports touched 450 million units, worth $929 million, according to science and technology minister Harsh Vardhan, in a written reply to a question in the Lok Sabha. The minister said the 175 million lithium battery imports recorded in 2016-17 rose to 313 million the following fiscal year, with the latter figure worth $727 million.China, Hong Kong and Vietnam were the leading sources of imports. China exported $773 million worth of lithium-ion batteries to India in the last fiscal year, according to Ministry of Commerce figures, with Hong Kong and Vietnam shipping $267 million and $114 million worth of product, respectively.
(PV Magazine, Feb 10, 2020)
Chinese phonemaker Xiaomi has become India’s number one handset brand for the first time, including smartphones and featurephones, replacing Korea’s Samsung which had been holding the position for several years, as per October-December data of IDC. For the fourth quarter, Xiaomi topped the market with a 16% share, trailed by Samsung and Reliance Retail, which sells the JioPhone, IDC said. It didn’t give the figures for the No. 2 and 3 players. Xiaomi India head and global vice president Manu Jain told ET that Xiaomi smartphones will be enough to surpass Samsung and Reliance Retail’s feature phones and smartphones put together. Xiaomi also emerged as the market leader registering annual shipments of 43.6 million units in 2019, the highest ever smartphone shipments made by any brand in a year, with a growth of 9.2% on year, IDC said. Samsung, on the other hand fell 2.8% on-year, leaving it with a market share of 20.3% versus Xiaomi’s 28.6%, for 2019.
(ET, Feb 08, 2020
In a bold crusade against Korean phonemaker Samsung, brick-and-mortar mobile retailers have decided to boycott the sale of Samsung devices for three business days pan-India. "We will be showing our protest through digital posts, covering Samsung branding with a black cloth on in our stores, and not doing business with Samsung distributors for three days," Arvinder Khurana, President of AIMRA told ET. Khurana also added that despite several communications sent to country heads of Samsung in the last five years, "they have not had the time to meet AIMRA leaders" and have neither acknowledged nor replied to emails sent by the offline retailer community. AIMRA, along with other trader associations have been campaigning to end exclusive deal between phone brands and e-commerce platforms, deep discounting and cash back offers. Post multiple grievances submitted to mobile manufacturers, Vivo, Oppo and Realme have assured their retail partners that they will simultaneously launch products, variants at the same price across channels.
(ET, Feb 08, 2020)
ASX-listed renewables developer Windlab will be the sole party to bear the costs of delays at the Kennedy Energy Park, Australia’s first project on a major grid to combine wind, solar and battery technologies. Under an adjudication decision that is likely to raise concerns among other projects plagued by grid delays, the EPC contractor – a joint venture between Danish Vestas Wind Systems and U.S. Quanta Services – is not requested to pay any delay liquidated damages and indemnity costs. Pursuant to the adjudication determination under Queensland Building Industry Fairness, Windlab will have to pay the contractor $949,740 in milestone payments previously withheld, and a further $6.6 million in variation claims and delay costs. The adjudicator has also reversed Kennedy’s previously invoiced liquidated damaged and indemnity costs to the EPC contractor and denied payment of $19,615,375 of the EPC contractor’s claims. “Such a determination is not a final determination of the parties’ rights but rather an interim payment decision and is currently under review for enforceability,” Windlab said in a statement to the ASX. Namely, the adjudication is the initial phase of the dispute resolution under the Queensland laws which were established for contractors to enforce outstanding payments.
(PV Magazine, Feb 08, 2020
Business Wire India Delta Electronics India, a leading Power and Energy management company, displayed diversified cutting-edge technology with a portfolio of energy-efficient EV Charging Solutions at Auto Expo 2020, one of the world’s premier auto shows. Speaking on the occasion Mr. Niranjan S Nayak, Business Head, Delta Electronics India said, "India is gearing up rapidly for the adoption of electric vehicles and Delta, being an enabler and catalyst in India''s EV evolution, is priming to strengthen the EV Charging Infrastructure. As a leading player we are uniquely positioned to offer complete end-to-end solutions with both on-board and off-board chargers. Our energy-efficient, compact, and extremely robust solutions for onboard chargers (DC-DC Converters & Powertrain) give us a distinctive advantage because of our global expertise. We have been partnering with major automobile giants in India for EV Charging Solutions and constantly focusing on developing EV Charging Infrastructure to support GOI''s ‘E-Mobility Mission.’ We are establishing our new plant in Krishnagiri for domestic production as well as for export along with our new R&D center in Bengaluru that is a testimony of our commitment for GOI “Make in India” initiative. This reinforces the company''s contribution to facilitate investment, foster innovation, enhance skills development and build best in the class manufacturing infrastructure units in the country with a vision of Powering Green India." Mr. Akshaye Barbuddhe, Business Head, EV Charging Solutions, Delta Electronics India remarked,
(Outlook, Feb 07, 2020)
Chairman Ajit Pai has given the talking points of the commission's plan for its auction of a portion of the C-band — the 4Ghz to 8GHz radio frequencies used mostly for consumer satellite transmissions — for general (read: mostly 5G broadband) use. The FCC wants to auction off the bottom 280MHz (the 3.7 - 4.2Ghz range) of the C-band and reserve 20Mhz of the band above that threshold for further needs. Both the FCC and current satellite operators say this will still leave enough spectrums for the operators to provide the same level of service that we have today. But like most things about wireless, there are some extra complications to work out — and of course, fees.
(Androidcentral, Feb 07, 2020)
Vertical racking by Next2Sun: In order to install bifacial solar modules vertically, thicker metal posts are sunk into the ground, with framing that holds the modules above ground. This racking scheme is meant to be installed in between rows of crops, or as a fencing structure. The company claims bifacial modules make the production values acceptable, and in places with a high albedo (or during snow events), production becomes respectable. A new type of floating solar: Sun Rise E&T Corporation brought these flexible HDPE (high-density polyethylene) pipes from its fish farm experience into the floating solar industry.The modules are deployed in sub-sections of two rows of eight to allow for flexibility. The tubes can be deployed on land once they are filled up with water or sand. The company’s website suggests that it has installed 84 MW in Asia utilizing this racking product.
(PV Magazine, Feb 07, 2020)
Partnership with French major Total will boost Adani’s balance sheet and provide the confidence to carry out its contracted pipeline which remains strong with around 500 MW of solar PV under construction in India and about 200 MW operational and in pipeline in Australia, according to Wood Mackenzie analysts. The investment comes at a time when access to capital has become difficult for renewable independent power producers (IPPs) amid issues like payment delays from utilities and power purchase agreement renegotiation. Decoding the Adani-Total deal, Woodmac analyst Rishab Shrestha said: “In India, payment delays from utilities to renewable IPPs and renegotiation of tariffs have worsened and made access to capital difficult. Domestic capital now comes at a premium. Adani sells more than 500 MW of solar power to TANGEDCO [Tamil Nadu Generation and Distribution Corporation Limited]. The utility has had a history of delay and discounted payments and poses a risk.
PV Magazine, Feb 07, 2020)
The coronavirus outbreak is giving industry the jitters, especially sectors dependent on Chinese imports such as consumer electronics, automobiles and pharmaceuticals. Seafood and spices exports are also vulnerable as Beijing absorbs a big chunk of the $10-billion these shipments bring in every year. Industry officials say trade has already been affected and unless Chinese supplies bounce back quickly, it would lead to scarcity and higher prices in a few weeks. Looking for alternatives to China is time-consuming and costly. Prices of active pharmaceutical ingredients (APIs) for antibiotics and anti-inflammatory drugs have skyrocketed, and mobile handsets and consumer electronics could be next. Paracetamol prices have increased from Rs 260-360 per kg. Nimesulide has more than doubled to Rs 1,100 from Rs 450. Azithromycin, used for bacterial infections, and montelukast, for treatment of respiratory infections, have shot up by about 30%. “As of now we are OK,” said Kedar Upadhye, global CFO at Cipla Ltd.
(ET, Feb 06, 2020)
RailTel Corporation of India Ltd has signed a memorandum of understanding with defence PSU Bharat Electronics Ltd (BEL) for cooperation in the field of cloud services, IoT , e-governance, smart cities, networks for defence projects, mission critical communication systems for domestic and international markets, according to a statement from the telecom service provider on Thursday. The MoU was signed in the presence of BEL CMD M V Gowtama and Puneet Chawla CMD, RailTel. BEL, a Navaratna PSU under the Ministry of Defense, is a multi-product, multi-technology company with nine manufacturing units across the country and primarily manufactures advanced electronic products for the Indian Armed Forces. The MoU was signed at the DefExpo which is underway in Lucknow. PTI ASG ASG SMN SMN
(Outlook, Feb 06, 2020)
Budget 2020 has failed to meet the expectations of the electric vehicle (EV) segment of the country. The segment’s stakeholders were expecting more measures from the government to promote electric mobility in cities. Despite the government’s constant stress on a cleaner and greener environment, the Union Budget had very little to put smiles on the faces of EV enthusiasts, and not many incentives were announced to drive the demand of EVs. As per the Union Budget announcement, imported EVs are going to get costlier with the government increasing the customs duty on various kinds of such vehicles as the government pushes for local production. The government has allocated ₹6.93 billion (~$96.8 million) for the Faster Adoption and Manufacturing of (Hybrid) and Electric Vehicles in India (FAME-India) program for the financial year 2020-21. To promote easy adoption of EVs, the government has increased the number of EVs to be supported for the fiscal year 2020-21 through demand incentives for electric buses to 5,000 as compared to 1,650 announced in the last budget. The demand incentives for electric four-wheelers has been increased to 3,000 as compared to 1,650 in the previous budget. Demand incentives on electric three-wheelers has been decreased to 15,000 from 16,500, and demand incentives on electric two-wheelers has been increased to 40,000 from 33,000.
(Mercom India, Feb 05, 2020)
Generate has landed more than $1 billion in new funding to grow its fleet of renewable infrastructure projects. New investors include Australian Super, QIC, Railways Pension and AP2 of Sweden, according to a release. Richard Kauffman, former New York state energy chief and current chairman of the New York State Energy Research and Development Authority, has been named chair of the board, and Lynn Jurich, CEO of Sunrun, has joined the board, along with Australian Super’s Derek Chu and QIC’s Ross Israel. Generate builds, owns, operates, and finances sustainable infrastructure for industry and municipalities, working with more than 25 development partners to serve hundreds of companies, schools, cities and non-profits throughout North America. Founded in 2014, Generate has built more than $1 billion in sustainable infrastructure assets across the energy, waste, water and transport markets using battery storage; solar; energy efficiency; electric vehicles; fuel cells; wastewater treatment; distributed desalination; and organic waste management.
(PV Magazine, Feb 05, 2020)
Italy’s Carabinieri Command for the Protection of the Environment has seized a €4 million waste treatment plant near Catania, in Sicily, on suspicion panels sent there for recycling were smuggled on to African and Middle Eastern markets. The Ministry of the Environment has announced thousands of panels sent for recycling from solar plants in Italy were instead re-badged with false labels and exported to new markets. The racket was uncovered by the carabinieri’s Operation BlackSun. “About 60 tons of solar panels were also found on which investigations will be conducted to verify the regularity of the storage, treatment and recovery operations,” the ministry added. The owner of the recycling plant, whose name was not released, was arrested on January 23 on an arrest warrant issued by the investigating magistrate of the Perugia court on charges of being one of the main perpetrators of a criminal association aimed at illicit cross-border trafficking of waste, money laundering, counterfeiting, alteration or use of trademarks and other illegal conduct, the Italian government said. The carabinieri said counterfeited panels were smuggled to Senegal, Burkina Faso, Nigeria, Morocco, Mauritania, Turkey and even Syria.
(PV Magazine, Feb 05, 2020)
The government has been taking many steps to make India a manufacturing hub for smartphone makers. Now, it has been reported that the centre is reportedly planning to invest Rs. 45,000 crore, so that smartphone maker like Samsung, Apple, Xiaomi, Oppo, and Vivo can set up their supply chains in India. In fact, a note has already been floated in all ministries, reports Economic Times. The report reveals that the government has divided the amount into two parts and Rs. 41,000 crore will be given to those companies who are based on a bonus scheme. Whereas, Rs. 4,000 crore to those who have reimbursement scheme. "The government expects the PLI scheme to generate over two lakh jobs, exports of over Rs. 5 lakh crore and direct tax revenue of close to Rs. 5,000 crore, over a period of five years," the official was quoted by the newspaper.It is worth mentioning that the government is also trying that the upcoming policy should be under WTO norms. The main reason behind this investment is to attract Foxconn, Huawei, Vivo, Oppo, and Samsung so that they can make a huge investment in the country.
(Gizbot, Feb 04, 2020)
The deadly coronavirus has cast a shadow on India''s flagship motor show Auto Expo, while other sectors including travel and electronics manufacturing are keeping a close watch to avoid any possible impact of it on their businesses. Automobile industry body Society of Indian Automobile Manufacturers (SIAM) on Tuesday said all Chinese companies participating at the expo have confirmed that their exhibit area would be manned by their Indian employees. In addition, auto component makers body ACMA said Chinese participants at the components show of Auto Expo are unable to travel to India due to the outbreak of coronavirus in China, even as around 30 companies from there have confirmed that their stand would be managed by their Indian counterparts in their absence. Meanwhile, restrictions on travel between China and India has impacted bookings and the travel industry is cautiously watching the situation, players said on Tuesday. India on Sunday announced temporary suspension of e-visa facility for Chinese Travelers and foreigners residing in the neighbouring country and issued a fresh advisory saying anyone with travel history to China since January 15 can be quarantined. “With travel to mainland China and even Hong Kong severely restricted for days, the travel bookings had taken a massive hit,” MakeMyTrip co-founder and CEO Rajesh Magow said. With the mobile industry importing an estimated Rs 95,000 crore worth of components annually, a portion of which comes from China, handset manufacturers are waiting to see if the shuttered factories of suppliers reopen next week.
(Outlook, Feb 04, 2020)
In a bid to make India an attractive investment destination, the Indian government had taken a slew of Foreign Direct Investment (FDI) measures. The Centre cleared FDIs in contract manufacturing, single brand retail, insurance and digital media, hoping to increase the FDI inflow in the country. Needless to say, the steps will improve the current growth situation in the country and usher in relief. But, as per experts there was room for more such announcements. In a bid to discuss the reforms and outline a vision on what more needs to be done, PwC in association with CNBC-TV18 held a discussion on FDI Reforms & Tax Incentives, during which experts Ramesh Abhishek, former Secretary, Department of Industry Policy & Promotion; Jayant Dasgupta, former DTO Ambassador; and Akash Gupt, Partner & Leader- Regulatory Services, PwC India spoke at length about FDI, corporate tax and job creation. Speaking about the favourable corporate climate and how much does India stand to gain, Abhishek said the FDI move will put things in perspective. Many of these FDI changes that have been done in last few month, they were in the works for some time and last of the FDI reforms done by the government in the last few years have been done on feedback. I think the government has been responding to many of these (suggestions), and all these put together actually create a conducive environment climate,” said Abhishek.
(Money Control, Jan 13, 2020)
Television sales saw its worst ever performance in India in 2019 as the number of units sold fell in comparison to last for the first time. As per estimates by leading brands, TV sales declined over 4% last year compared to 2018. Industry executives said consumers shifted to consuming content on their smartphones and postponed upgrade of their existing television sets in urban and semi-urban areas with the popularity of over-thetop (OTT) services like Netflix, Amazon Prime and Hotstar. In rural India, poor sentiments largely impacted demand, much like most other consumer goods. This fall in television sales has irked the ministry of electronics and information technology (MeitY), which wants to make India a production hub for televisions and the steep drop in sales suggests domestic volumes will not justify it, three industry executives said. “Ministry officials have recently flagged the issue during consultation with industry,” one of them said. As per industry body Consumer Electronics and Appliances Manufacturers Association estimates, television unit sales dipped by 7% in April-September 2019 from the year ago, while industry estimates put the October-December decline at a sharp 9-10%.
(ET, Jan 13, 2020)
In the past decade, electric mobility has emerged as a major trend in the automotive industry, with great strides being made in terms of practicality and affordability. Mahindra, a company that has been the bellwether of electric vehicles in India, plans to accelerate its efforts in this space in the months ahead. The company recently outlined its electric mobility roadmap, including its upcoming products and technologies. Contrary to some of the other OEMs in the industry, the home-grown automaker intends to direct its concerted efforts more towards the fleet segment, rather than private buyers. Commenting on the company’s strategy, Dr Pawan Goenka, managing director, Mahindra & Mahindra, said, "Our focus is on shared mobility and not on personal mobility. And that is the priority that the Government of India has also given because that is how you will get the maximum bang from the buck in use of electric vehicles in India in terms of the impact on the environment and the impact on oil imports."
(Auto Car, Jan 11, 2020)
Samsung, India’s biggest consumer electronics company by sales, appears to have had enough of price wars with its rivals from China. The South Korean major has seen its bottom-line trimmed lately as a fallout of the trans-peninsular rivalry, and is moving away from entry-level smartphones and televisions that have a pronounced Chinese flavour in India. An outcome of this shift in strategy is manpower redeployment, something a company spokesperson described as “realignment of resources.” But three top trade sources said about 600 roles could disappear in sales support functions such as sales planning, market hygiene and order punching at shops, with the core sales team taking over such tasks that are often repetitive in structure. But three top trade sources said about 600 roles could disappear in sales support functions such as sales planning, market hygiene and order punching at shops, with the core sales team taking over such tasks that are often repetitive in structure.
(ET, Jan 10, 2020)
India’s space agency planned to build as well as launch 17 homegrown satellites in 2019. It, however, managed to deliver only about half due to a shortage of electronics parts. The absence of a robust homegrown electronics ecosystem is hurting the ambitious targets set by the Indian Space Research Organisation (Isro), which has lined up more than 60 missions over the next five years. These include building new generation communication and earth observation satellites, heavier rockets, return missions to the moon and Mars, and its first human space flight endeavour. Each of these spacecraft and rockets needs electronic components and systems, mostly imported. Over half of the electronics components on a large satellite and nearly a tenth for a rocket are imported as they need to meet stringent standards. These components should be reliable, radiation hardened and work through the mission life of a satellite, which could be as many as 15 years. The need, therefore, for such components is only going to increase as the space agency becomes more aggressive in pursuing cutting-edge missions.
(ET, Jan 10, 2020)
The domestic telecom equipment makers and suppliers have urged the Narendra Modi-led government to allow line of credit or soft loan to incumbent telecom operators that could encourage them to purchase locally-made network products. “There is a need to allow a domestic line of credit to telecom service providers so that electronics in networks up to 75% should be purchased within India,” Sandeep Agarwal, Chairman— Telecom Committee of the PHD Chamber of Commerce and Industry (PHDCCI) told ETT. Early this week, the representatives of the domestic trade groups such as Telecom Equipment Promotion Council (TEPC), Telecom Equipment Manufacturers’ Association (TEMA) besides the PHD Chamber submitted the proposal to the Department of Telecommunications (DoT) to press their demand. “Foreign countries provide a line of credit to their manufacturers for supply of telecom equipment to India on liberal terms. Indian manufacturers find it difficult to counter this and that only promoted imports by operators, a Delhi-based group told DoT officials. “A domestic line of credit should be allowed by the Finance Ministry. A dollar saved is a dollar earned.
(ET, Jan 10, 2020)
“Our agreement with Samsung for manufacturing LED TVs is a milestone for our company and will not hurt the relations with other brands for whom we are manufacturing", says Atul B Lall, Managing Director, Dixon Technologies (India) Limited. During an interview with Swati Khandelwal, Zee Business, Mr Lall said, “Government's steps has helped India to start its journey as the mobile manufacturing hub”. Edited Excerpts: Dixon Tech, which has been manufacturing LED televisions for Panasonic and Xioami, has signed a contract with South Korean electronics company Samsung. Let us know about it? Customer acquisition is an important business activity at Dixon and the recently signed agreement with Samsung is a significant milestone for us. It is a continuous activity and we keep talking with numerous customers. It is difficult to name them but we are working with significant brands. We always try to serve them, our customers, with full capability and bring cost reductions and provide new products to cement our relationship with them. Thus, the company has achieved significant mileage and it is also important for every stakeholder.
(Zee Business, Jan 10, 2020)
Union Minister for Communications, Electronics and Information Technology Ravi Shankar Prasad has said that the Union Government will ensure participation of the common people as stakeholders in the digital transformation that is sweeping across the country. He was speaking after inauguration of the works on laying of submarine cables from Chennai to Andaman Nicobar Islands in Chennai today. Mr Ravi Shankar Prasad said, the Central Government has transferred funds worth eight lakh crore rupees under various heads to beneficiaries through the Direct Benefit Transfer system. He said, the DBT has helped the Centre to save about 1.40 lakh crore rupees by plugging the routes of pilferage. The Minister said, banking services will be delivered at the footsteps of the people even at far-flung areas using the vast network of Post Offices in the country combined with Information Technology.
(All India Radio, Jan 09, 2020)
In August 2019, during the company’s 42nd Annual General Meeting, Mukesh Ambani, Chairman of Reliance Industries (RIL), talked about a ‘new commerce’ venture that aims to "completely transform the unorganised retail market, which accounts for 90 percent of India's retail industry". He said that Reliance’s platform will modernise even the smallest neighbourhood kirana shop to become a “future-ready digitised store". JioMart explores the offline-to-online (O2O) model, which creates a system to entice consumers within a digital environment to make purchases of goods or services either from physical businesses or in an online setup. But, why is the man behind Jio so excited about this market? At the time, Ambani had said that “new commerce” is a massive new business opportunity worth $700 billion. Mukesh Ambani said, “The three crore merchants and kirana shop owners, who generate direct and indirect livelihoods for over 20 crore people, form the backbone of India's commerce ecosystem. These highly energetic and self-motivated entrepreneurs have suffered in recent years because of their inability to invest in technology and infrastructure.” In fact, it is not only RIL that is eyeing India’s O2O opportunity, but several startups are also bullish about this space. Despite competition from the likes of RIL, Amazon, Flipkart and others, a breed of startups have found their own niche in this space. So much so that experts are saying that it is the time for ‘Bharat’ commerce. We take a look at how 2020 looks like for retailers and startups in this space.
(Your Story, Jan 08, 2020)
Two senior executives of Korean Giant Samsung’s India wing have put in their papers down according to the reports. Senior Vice President and Chief Marketing Officer, Ranjivjit Singh who was in charge of mobile phone marketing and Sukesh Jain, Senior Vice President, Enterprise Business have resigned on Monday as per a report in The Economic Times. Singh’s responsibilities will now be managed by Aditya Babbar who will handle the mobile phone marketing. Jain’s role in the company has been taken over by Senior Director Akash Saxenaa. The resignations come even as the company is planning its biggest tech event in February where it is said to unveil its flagships for 2020 including the all new Galaxy S11/20 series. Samsung India had already been facing tough competition from Chinese electronics brand Guangzhou Bu Bu Gao Electronics (BBK), which holds a giant market share in Indian electronics under its four different brands including Vivo, OPPO, OnePlus and Realme. According to a report published by the International Data Corporation (IDC) back in December, BBK gained 40 per cent market share compared to its previous 20 per cent market share. While the Korean tech giant Samsung’s share in the Indian market was estimated to be 19.1 per cent losing its hold over one of its prime smart phone markets.
(BusinessLine, Jan 07, 2020)
South Korean automobile manufacturer Hyundai Motor Company today entered into a partnership with US ride-hailing giant Uber to produce electric air taxis. Hyundai also unveiled a new full-scale concept PAV (personal air vehicle), developed jointly with Uber, at the ongoing Consumer Electronics Show 2020. Hyundai is the first automotive company to join the Uber Elevate initiative. Under the partnership, Hyundai will produce and deploy the air vehicles and Uber will provide airspace support services, connections to ground transportation and customer interfaces through an aerial rideshare network. The two entities are also collaborating on infrastructure concepts to support their take-off and landing. The concept PAV -- S-A1 -- is an eVTOL (electric vertical take-off and landing) aircraft designed for aerial ridesharing purposes. The S-A1 will seat five people, including the pilot, and have a cruising speed of 290 kmph, with a flying trip up to 100 km. The cruising altitude of the air vehicle will be around 1,000-2,000 feet above the ground. Being a completely electric air vehicle, the S-A1 will utilise distributed electric propulsion, powering multiple rotors and propellers around the airframe to increase safety by decreasing any single point of failure. During peak hours, it will require about five
(India Today, Jan 07, 2020)
Customers who have so far been swearing by Big Bazaar to buy their groceries, fashion, footwear, and other items would now be able to get it online. Kishore Biyani-led Future Group companies Future Retail — the retail arm and Future Consumer — the FMCG vertical have tied up with Amazon India. This would enable Future Retail to sell goods including groceries, general merchandise, beauty products, fashion, footwear, jewellery, watches, luggage across India. Similarly, Future Consumer brands including Tasty Treat for snacks, fabric care brand Voom, Dreamery for dairy, dry fruits label Karmiq, etc would be sold on Amazon. Big Bazaar products are also available as of now on Vijay Shekhar Sharma’s Paytm Mall. The deal with Future Group is likely to boost Amazon’s play in the Indian e-commerce market that is expected to grow to $188-billion in size by 2025 from $39 billion in 2017, according to Statista. Amazon and Flipkart are currently the largest online retailers in India with Snapdeal at a distant third even as it has shifted its focus to value-conscious buyers in India in 2017. “This creates an enviable collaboration bringing together the best of consumer insights and geographical reach from the online and offline world,” Amazon said in a statement. Future Group’s partnership with Amazon also comes probably months before the impending launch of Mukhesh Ambani’s Reliance into the e-commerce fray, thanks to Jio around 350 million customers and a network of nearly 11,000 retail stores. Reliance e-commerce foray is expected this year.
(FE, Jan 06, 2020)
The Bengal government did not seek the Centre’s approval before posting former Calcutta police commissioner Rajeev Kumar as the information technology and electronics principal secretary on the ground that it was facing a dearth of IAS officers, multiple officials claimed. Kumar, who is facing a CBI probe in connection with the Saradha scam, was given the posting on Thursday. A state government should seek the approval of the department of personnel and training, under the Centre, before assigning a non-IAS officer to a post reserved for the IAS. “The state had repeatedly urged the Centre to increase the sanctioned strength of IAS officers in Bengal. But the requests fell on deaf ears. This is the reason why the state was forced to place an IPS officer in a post meant for an IAS officer. If the Centre seeks a clarification, the state will cite the shortage of IAS officers here,” said a senior bureaucrat. Nabanna sources said that the Bengal government had urged the Centre earlier this year to enhance the IAS cadre strength to 400 during an allotment review meeting in Delhi that was held after five years. The Bengal government had cited development projects for the request.
(The Telegraph, Dec 30, 2019)
To promote digital payments, finance minister Nirmala Sitharaman on Saturday said no MDR charges will be applicable on transactions through homegrown RuPay and UPI platforms beginning January 1, 2020. The department of revenue will soon notify RuPay and UPI as the prescribed mode of payment for digital transactions without any Merchant Discount Rate (MDR), she said after meeting CEOs of public sector banks here. Accordingly, all companies with a turnover of Rs 50 crore or more will be mandated by the revenue department to provide the facility of payment through RuPay Debit card and UPI QR code to their customers, she said. MDR is the cost paid by a merchant to a bank for accepting payment from their customers via digital means. The merchant discount rate is expressed in percentage of the transaction amount. “I’m happy to say that the announcement which was made in the budget will see the notification coming on January 1, 2020... those modes which are getting notified will not have charges under the MDR being levied on them,” she said. Indigenously developed digital payment medium such as RuPay and BHIM UPI will now have an edge over the payment gateway promoted by foreign companies. She said banks will also start a campaign to popularise RuPay Debit card and UPI.
(The Telegraph, Dec 29, 2019)
Mahindra & Mahindra is learnt to be at an advanced stage of showcasing and/or launching its first electric scooter, which is understood to be based on the Mahindra Gusto scooter platform.It may be recollected that in April 2017, Autocar Professional had reported that a Gusto-based e-scooter was under development. The now-discontinued Gusto 110cc and 125cc scooter models were the most successful Mahindra models on two wheels, compared to the Duro and Rodeo. According to sources familiar with the latest developments on the new project, Mahindra's electric scooter will be revealed before Auto Expo 2020, which opens in early February. The e-scooter, for which ARAI certification is believed to have been received, is expected to be retailed at an estimated price of around Rs 80,000 in Delhi (including FAME 2 and state government subsidies). Considering that Mahindra owns two electric-scooter manufacturing companies (Mahindrda Genze in the USA and Peugeot Motocycles in France), it was a matter of time before the company, which is the forerunner of electric mobility in India, entered the e-mobility field on two wheels. The upcoming Mahindra e-scooter, which is learnt to have inputs from Mahindra Genze, is powered by a 3Kw motor and is expected to have a range of around 80 kilometres on a single charge, along with a top speed of around 55-60kph. Little else on the eco-friendly Mahindra two-wheeler is known at this stage.
(AutoCar, Dec 28, 2019)
With a slew of initiatives be it the launch of Phase 2 of FAME scheme, the country-wide prohibition of single-use plastics, or India’s announcement of increasing the renewables from 175 GW to 450 GW at the recent UN Climate Action Summit, India has undoubtedly listed the going green among its priority tasks. Its commitment to adopting electric vehicles will be on display during the Union Budget 2020 as the EV industry awaits policy decisions that will impact the future of mobility in India. In fact, during the Union Budget 2019 in July, finance minister Nirmala Sitharaman announced lowering the GST on EVs from 12% to 5%, which already had a big impact on the industry. She had stated, In conjugation with the Phase 2 of FAME scheme, Sitharaman had also announced another scheme which aimed to set up mega-manufacturing plants in sunrise and advanced technology areas such as semiconductor fabrication, solar photovoltaic cells, lithium-ion storage batteries etc. Under the scheme, the manufacturers will also be liable to receive tax exemptions. Meanwhile, Phase 2 of FAME scheme with a total outlay of INR 10K Cr, over a period of three years, was commenced on April 1, 2019. Phase 1 of FAME was launched on 1st April 2015, with a total fund of INR 895 Cr and ended on March 31, 2019. However, in an independent evaluation report, it was observed that while the relatively increased awareness, is in itself a notable achievement, the overall outcomes of key parameters of fuel-saving and CO2 reduction are significantly below the target for FAME and that it did not help encourage manufacturers to produce EVs.
(Inc42, Dec 27, 2019)
With a growing demand in electronics and manufacturing in India and limited domestic manufacturing, semiconductor chips will soon become a significant import item for India. A local semiconductor manufacturing industry can support the development and manufacturing of sensors required for India specific Internet of Things (IoT) products, especially in the domains of agriculture, healthcare, smart cities, safety and waste management. The report estimates establishing such an industry would witness a pay back of 6.3X in terms of economic impact; 4X in employment and help develop a high-tech ecosystem in the country. An Indian semiconductor fabrication facility can offset semiconductor imports of US$ 8 billion over the projection period and have a further multiplier impact of US$ 15 billion on the Indian economy. An Indian semiconductor fabrication facility would enable India to join a handful of nations with such capacity. This was among key items on the agenda of Indo-Israeli forum held in Tel Aviv last week. In fact Ambassador Ron Malka, Ambassador of Israel to India, and Ambassador Sanjeev Singla, Ambassador of India to Israel, officially released a report on “Feasibility Study of Semiconductor Fabrication Facility in India” during the 12th India Israel Forum in Tel Aviv.
(ET, Dec 27, 2019)
The government is considering a proposal to sweeten export incentive scheme for smartphone manufacturers such as Apple, Samsung, Huawei, Vivo and Oppo by offering 6% duty credit scrips, replacing the current 4% scrip, two people aware of the development said. The government has set an ambitious target to increase smartphone exports from the country to $110 billion by 2025 from $3 billion now. Duty credit scrip is a certificate with certain monetary value that can be utilized for payment of customs duty. “The industry had sought up to 8% (duty credit slip) but the government is considering a 6% replacement for the MEIS (Merchandise Exports from India Scheme),” a senior government official told ET. Another person said the government is also working on tightening the eligibility criteria to ensure the new scheme is offered only to those targeted manufacturers who develop their supply chain and ecosystem in India and make the country an export hub. The criterion being deliberated on include employment generated, investment made, average selling price of phones, and production, the person said. “Since it (the new scheme) has to be WTO (World Trade Organisation) compliant, the policy cannot directly provide subsidy for exports and that criterion is being narrowed down.”
(ET, Dec 24, 2019)
India will become the largest workforce in the world by 2030 with over 90 million people up skilling themselves in futuristic technologies such as Artificial Intelligence, Block chain, Cyber security among others, according to a report by NASSCOM. Indian IT industry body said that with technology giants investing over INR 10 billion per year to address the reskilling/ up skilling requirements of their employees given the magnitude of the challenges, more people are expected to be a part of the industry. The Indian government had announced an initiative called ‘Future Skills’ last year in Hyderabad to reskill the IT industry workforce in emerging technologies and job roles prompting the Ministry of Electronics and IT and NASSCOM to also help reskill/ up skill over 200,000 IT employees leveraging the Future Skills platform. The Future Skills platform currently offers reskilling/ up skilling in 10 emerging technologies like Artificial Intelligence, Cyber Security, Block chain, etc. across 70 new job roles and 155 new skills. Union Minister for Electronics and IT Shri Ravi Shankar Prasad today approved the expansion of the Future Skills initiative to industry professionals across different segments, higher education students and government officials, with the goal to train 400,000 professionals in next three years. This expanded digital platform would be called Future Skills PRIME (Programme for Reskilling/ Up skilling of IT Manpower for Employability). “In the digital world trained workforce will become India’s biggest competitive advantage. The Government is committed to working with the IT Industry and NASSCOM to create India Digital Talent Stack that will propel India into a leadership position in the digital world,” Prasad said. Debjani Ghosh, President, NASSCOM, said, “It is phenomenal to see the Government taking on such a huge initiative and recognizing the imperative of skilling in our industry today. The common objective we share is to showcase India as the global hub for talent development in emerging technologies as well as globally recognized process structures. I am confident that such an initiative will significantly contribute to building a future-ready workforce and accelerate the technology sector in achieving its skilling targets for the country.”
(IBS Intelligence, Dec 24, 2019)
The Electropreneur park in Bhubaneswar would incubate 50 start-ups in five years with thrust on verticals like energy, process control & industrial automation and education. The ecosystem is also envisaged to support innovation in electronics system design & manufacturing (ESDM) pertaining to agriculture, disaster management, healthcare and Smart City applications. Jitendra Chaddah, chairman, Indian Electronics & Semiconductor Association (IESA) said, "The consumption of electronics in India is growing at a rapid pace. The market is estimated to touch $400 billion in the next four to five years. The Electropreneur Park in Bhubaneswar can play a very critical role in meeting the demand-supply gap”. The Electropreneur park in Bhubaneswar being set up by the Software Technology Parks of India (STPI) in collaboration with the department of electronics & IT, Odisha government is the first ESDM incubation centre in eastern India. It is also the second Electropreneur Park in the country after the one set up within Delhi University. International Institute for Information Technology (IIIT) is the knowledge & academic partner whereas IESA has been designated the implementation partner for industry connect, mentoring support and outreach.
(BS, Dec 23, 2019)
The government has expanded a programme to reskill the IT industry workforce in emerging technologies, with a target to train 4,00,000 professionals in the next three years. The government has earmarked Rs 426 crore for the programme. Union Minister for Electronics and IT Ravi Shankar Prasad said on Wednesday that, in a digital world, a trained workforce will become India’s biggest competitive advantage, and that the government was committed to working with the IT Industry and industry group Nasscom to create India Digital Talent Stack. Prime Minister Narendra Modi had announced the Future Skills Initiative in 2018. Since then, the Ministry of Electronics and IT and Nasscom have worked with the IT industry to reskill and up skill over 2,00,000 IT employees, leveraging the Future Skills platform. The platform currently offers skilling in 10 emerging technologies such as artificial intelligence, cyber security and blockchain across 70 new job roles and 155 new skills. By 2030, India will have more than 90 million people joining the workforce due to its existing demographic dividend, according to a government statement. Indian IT giants have been investing over Rs 1,000 crore every year to address the reskilling/upskilling requirements of their employees, given the magnitude of the challenges, it added. “The common objective we share is to showcase India as the global hub for talent development in emerging technologies as well as globally recognised process structures,” said Debjani Ghosh, president, Nasscom.
(ET, Dec 19, 2019)
The electronics and technology industry is batting for reinstating the Merchandise Exports from India Scheme (MEIS) rate from the current 2 per cent to boost electronics exports from India. Industry bodies and companies discussed the issue with Finance Minister Nirmala Sitharaman on Monday, at a meeting held to understand their budget expectations. "Our main ask from the government is to restore MEIS. It is a very important incentive scheme for global value chains," said Pankaj Mohindroo, India Cellular and Electronics Association (ICEA) chairman. Hardware industry body MAIT's Chief Executive Officer George Paul, who was also present at the meeting with the FM, said, "Exports by the electronics industry will be highly dampened and have a negative impact on investments in this sector. Electronics exports will be hit hardest without MEIS. Reinstating the MEIS is the need of the hour for continued exports." Introduced in 2015 under the Foreign Trade Policy, the mega MEIS was created out of a merger of five existing reward schemes. It incentivizes merchandise exports of more than 8,000 items now and is the biggest of its kind. Exporters earn duty credits at fixed rates of 2 per cent, 3 per cent, and 5 per cent, depending upon the product and country. According to ICEA earlier this year, handset exports in the current fiscal have crossed Rs 7,000 crore after total exports of Rs 11,200 crore in 2018-19. The current directive by Ministry of Commerce to reduce the MEIS from 4 per cent to 2 per cent is not in sync with the goals set in the National Policy for Electronics, 2019, to export 100 million handsets worth $110 billion every year by 2025...The mobile handset manufacturing industry has been interacting with the government on this issue and was awaiting an increase in the export incentive to 8 per cent to make India globally competitive and become a manufacturing hub," the Internet and Mobile Association of India said in a statement on Monday. As per IAMAI research, India today stands at a cost disability of 8-10 per cent compared to Vietnam and 18-20 per cent against China in electronics manufacturing. The disabilities arise out of multiple factors like higher cost of money, cost of land, corporate tax structure, lack of value chain infrastructure to name a few.
(BS, Dec 17, 2019)
With an average 50 KW solar power plant, one can save up to 72 tonnes of CO2 emissions entering the atmosphere, which is equivalent to planting 1500 trees. Solar power is not only environment-friendly but one of the very few secure investment options available in today’s declining economy to get an assured return. Installing solar not only reduces electricity bills but if you produce more electricity than your own consumption, that completely turns the table and you move from being a standard energy consumer to an energy producer. On top of all these financial and economic benefits, solar gives consumers an opportunity to contribute towards national development, feeling pride as they do their bit to ensure India meets its global and internal clean energy commitments, helping cities and states meet their climate change, air pollution and energy security targets. Currently, Delhites are witnessing the worst environmental disaster and air pollution of our time. The obvious solution lies in joint city and regional actions. Air pollution is not only a winter problem and not solely caused by crop residue burning but by increasing electricity demand, and the burning of coal in neighboring states’ thermal power plants. Citizens definitely need to accelerate their demands and hold governments accountable for their actions on a number of air pollution sources. We need their solutions, and a quicker response, by accelerating solar rooftop adoption to leave a clean and breathable environment for future generations. We must all join hands to stop Delhi from becoming a city of masks and work to create a solar city that guides other cities and nations towards a sustainable and climate resilient future for all.
(PV Magazine, Nov 29, 2019)
The Indian government is working on a national blockchain strategy in order to expand the technology’s adoption in the country. As the India Times reported on Nov. 27, India’s Ministry of Electronics and Information Technology (MeitY) said that it recognizes the potential of blockchain technology and the need for the development of a shared infrastructure to carry out related use cases. The Ministry added that it is working on the “National Level Blockchain Framework.”
The Minister of State for Human Resource Development, Communications and Electronics and IT, Sanjay Dhotre, noted blockchain’s capability and potential in sectors such as governance, banking, finance and cybersecurity, among others. Cointelegraph previously reported that the Indian state of Tamil Nadu was working on a state-level policy for blockchain technology and artificial intelligence. Tamil Nadu’s blockchain and AI policies are expected to establish ground rules on how the state government can apply the emerging technologies for service delivery and solving governance issues.
Earlier this year, the Southern Indian state of Telangana also released a draft blockchain policy initiative, which aimed to establish an ecosystem for blockchain startups and research institutes. The initiative reportedly has a particular focus on projects working to develop blockchain applications for the banking and financial sector, pharmaceuticals, logistics and solutions for government sectors. India’s government is set to embrace blockchain through the adoption of a national strategy focused on the emerging technology. Sanjay Dhotre, minister of state for electronics and information technology in the government of India, today said that a “National Level Blockchain Framework is being prepared” considering the technology’s potential and different use cases. The minister went on to say that blockchain is “one of the important research areas” with potential applications in areas such as governance, banking, finance, and cybersecurity. To that end, the country's Ministry of Electronics and Information Technology has also supported a blockchain project, dubbed “Distributed Centre of Excellence in Blockchain Technology,” in an association with other government agencies, including the Institute for Development and Research in Banking Technology.
Samsung on Wednesday said it will hire around 1,200 engineering graduates this year from India's premier institutions, such as IITs, NITs and IISc, for its research and development (R&D) centres in the country. The company plans to hire engineers for its R&D centres in Bengaluru, Noida and Delhi, and these employees will work on domains such as artificial intelligence, machine learning, deep learning, image processing, cloud, internet of things, recognition systems, data analysis, OnDevice AI, mobile communications, networks, and user interface and user experience. Samsung will hire students from multiple streams including computer science, electronics and communications, electrical engineering, mathematics and computing, instrumentation and information technology, the company said in a statement. "This year, we plan to hire over 1,200 engineers and have already extended 340 PPOs (pre-placement offers) to engineers at IITs and other top institutions," Samsung India Head (Human Resources) Sameer Wadhawan said. PPOs are made in advance and the student joins the company after the completion of his or her course. Samsung, which had previously announced that it will hire 2,500 engineers by 2020, has already on boarded 1,000 engineers each in 2017 and 2018.
(ET, Nov 27, 2019)
On Wednesday, November 27, India successfully placed into orbit its own earth observation satellite Cartosat-3 and 13 American nano satellites in textbook style. In the process, India crossed the milestone of putting into orbit 300 foreign satellites. By putting the 13 American nano satellites into orbit, India till date has launched a total of 310 foreign satellites for a fee. "Extremely happy to declare PSLV-C47 precisely injected Cartosat-3 and 13 customer satellites in their desired orbit. Cartosat-3 is India's highest resolution civilian spacecraft that ISRO has built so far," ISRO Chairman K. Sivan said. He said ISRO has planned 13 missions during this fiscal -- six launch vehicle missions and 7 satellite missions before March 2020. At about 9.28 a.m. the rocket Polar Satellite Launch Vehicle-XL (PSLV-XL) standing around 44.4 metres tall and weighing about 320 ton with a one-way ticket hurtled itself towards the skies ferrying Cartosat-3. Sharing the ride with Cartosat-3 were 13 nano satellites from the USA for an undisclosed fee to be paid to NewSpace India Ltd -- the new commercial arm of ISRO. With the fierce orange flame at its tail further brightening up the morning skies, the rocket slowly gathered speed and went up and up, enthralling the people at the rocket port while the rocket's engine noise like a rolling thunder added to the thrill. About 17 minutes into the flight, the rocket ejected Cartosat-3 into an orbit of 509 km at an inclination of 97.5 degrees.
(TOI, Nov 27, 2019)
MG Motor India – which is all set to launch its first electric vehicle, the ZS EV SUV – is partnering with Exicom Tele-Systems for second-life use of ZS EV batteries. Under the partnership, Exicom plans to re-deploy MG ZS EV batteries at the end of their useful life in the car and put them through a controlled process of evaluation, disassembly and repackaging to design custom battery packs for non-automotive applications. The new partnership with Exicom is aimed at dispelling reservations around the disposal of used EV batteries. The automaker says the reuse of discarded EV battery packs will reduce the dependence on the limited resources. These battery packs can be used in a host of non-automotive applications such as home inverters, commercial and industrial UPS, and renewable energy storage. Speaking on the partnership, Rajeev Chaba, president and MD, MG Motor India, said, “Over the past few months, we have worked towards creating the right ecosystem for our customers, ahead of the launch of the ZS EV, including charging infrastructure and busting common myths around EVs. Another question which people have is ‘what happens to the EV battery after the product lifecycle ends. Our latest partnership focuses on second-life applications for used EV battery packs, to ensure environment-friendly battery disposal, which will only serve to bolster the country’s progress towards this critical objective.” Anant Nahata, MD, Exicom Tele-Systems said, “We are extremely delighted to associate with MG which is focused on harnessing the EV ecosystem in India. Making electric mobility mainstream is one of the biggest challenges and opportunities we face. E-mobility also represents an important opportunity to overhaul our energy infrastructure and make necessary investments in renewables and new grid technologies.”
(Autocar, Nov 26, 2019)
Chinese handset maker OnePlus has said it is working with relevant authorities to further investigate the system breach, which resulted in unauthorized access to certain information of users such as names, contact numbers, email and shipping addresses. In a statement to ET, India’s leading premium segment smartphone player, however, said “all payment information, passwords, and accounts are safe”. “OnePlus has notified impacted users that we have discovered that some of their order information was accessed by an unauthorized party. We took immediate steps to stop the intruder and reinforce security. Before making this public, we informed our impacted users by email,” the company said. It added that it will work to prevent such incidents in the future. Vikas Agarwal, general manager at OnePlus India, told ET the company is in the process of shifting its data to Amazon Web Services (AWS) India servers from Singapore. He, however, did not offer comments if Indian authorities have been informed about the breach or the quantum of users affected in India. Cyber law expert Pavan Duggal said once the company finds a cyber-security breach, it is mandated under the Indian law to report such breach to CERT-IN, India’s nodal agency for cyber security.
(ET, Nov 26, 2019)
iPhone maker Foxconn said that it may look at extending its manufacturing capabilities to make more ecosystem devices in India for domestic and global needs and is currently awaiting clarity from the government on the Remission of Duties or Taxes on Export Products (RoDTEP) scheme, which will allow the company to drive ‘mobile plus’ capacity. “Foxconn makes anything and within reason, we will look at all possible opportunities to support our customers. Foxconn committed to making in India has been very consistent. We will continue to look at evaluating various options as we move forward,” Foxconn India MD and country head Josh Foulger, told ET. Foulger said that the next 36 months will be crucial for the country in terms of technology with the emergence of the Internet of Things (IoT), big data and Artificial Intelligence. “Mobile phones and all ecosystem products will be propelled by 5G.” On the proposed RoDTEP scheme, he said that the government is proactively seeking inputs from the industry, and Foxconn has already provided its inputs through the Indian Cellular and Electronics Association of India (ICEA), which represents major players like Apple and Xiaomi.
(ET, Nov 25, 2019)
The world's largest mobile phone charger maker Salcomp will revive the defunct factory of Nokia, located in the special economic zone in Sriperumbudur near Chennai, telecom and IT minister Ravi Shankar Prasad said Monday. The Finnish company which is one of the leading suppliers to Apple, will begin next financial year. It will invest Rs 2,000 crore over the next five years. "Salcomp , the world's largest manufacturer and supplier of Apple has taken over the entire Nokia facility, it is going to start from March 2020," Prasad said. "This big SEZ of Nokia which was closed for 10 years will now start again. 10, 000 will get direct jobs and 50,000 indirect jobs," Prasad added. He added 70% products will be exported including to China which lead to a lot of value addition. The minister added that Apple has started manufacturing the iPhone XR, through contract manufacturer Foxconn in Chennai, which is now being sold in the Indian market. "Welcome to Apple and expand your manufacturing in India," the minister said. "India will have the most favourable regime to become a big centre for mobile manufacturing," he said. While emphasizing on the results on the National Policy on Electronics which came into effect in February this year, the minister added that exports of mobile phones from India has risen from $200 million in 2017-18, to $1.6 bn in 2018-19. Exports this year 2019-20 will be $1.6 billion from mobile phones and $1.6 billion from electronic components.
(ET, Nov 25, 2019)
The Indian telecom carriers are expected to push back the ambitious fifth generation or 5G network deployments by at least five years on the back of exorbitant pricing, insufficient spectrum, and unavailability of newer bands, according to an industry group. “We will push out 5G for at least five years. That's the operator perspective,” Rajan S Mathews, director-general of the Cellular Operators Association of India (COAI) told ETT, and added that first, there was a pricing problem, and now the quantum issue has surfaced leading to a delay in 5G commercial rollouts. Delhi-based COAI represents incumbents— Bharti Airtel, Reliance Jio and Vodafone Idea as well as gear makers such as Huawei, Ericsson, Cisco and Ciena. “Pricing originally started off as a problem for the industry. With the Rs 492 crore for 1 MHz, most operators said it was not a viable proposition given the debt and international prices,” Mathews said. The Telecom Regulatory Authority of India (Trai) had recommended radio waves in the block of 20 MHz, and for a purchase of 100 Mhz of volume, an operator would need to pay at least Rs 50,000 crore.
(ET, Nov 25, 2019)
Over 92,000 employees of state-run BSNL and MTNL have so far opted for the recently announced VRS scheme, according to a government source. The source said the scheme and the strong response it has generated marks the biggest milestone in the history of these state-owned corporations. Over 92,000 employees of BSNL and MTNL have opted for the scheme so far, the source added. Nearly one lakh BSNL employees are eligible for the Voluntary Retirement Scheme (VRS) out of its total staff strength of about 1.50 lakh. The effective date of voluntary retirement under the present scheme is January 31, 2020. The 'BSNL Voluntary Retirement Scheme - 2019', that was rolled out recently, will remain open till December 3. BSNL is looking at savings of about Rs 7,000 crore in wage bill, if 70,000-80,000 personnel opt for the scheme. According to the plan, all regular and permanent employees of BSNL including those on deputation to other organisations or posted outside the corporation on deputation basis, who attended the age of 50 years or above are eligible to seek voluntary retirement under the scheme. The amount of ex-gratia for any eligible employee will be equal to 35 days salary for each completed year of service and 25 days salary for every year of service left until superannuation.
(ET, Nov 25, 2019)
High sales growth of China’s leading smartphone group BBK Electronics in the Indian market in the first half of this fiscal suggests that the economic slowdown has had no impact on smartphone consumption or nor was there any shift in Indian consumers’ preference for Chinese handsets. BBK’s two leading brands - Oppo and Vivo have doubled their combined India revenue between April and September this year to Rs 34,500 crore, according to their latest regulatory filings. These two brands are now within touching distance of their Rs 38,726 crore combined sales in 2018-19 when they had grown business by 67% over FY18. Both brands have reduced losses in first half of this fiscal. BBK's two other brands, premium OnePlus and online-focussed realme, too have continued to gain revenue. Realme India told ET its revenue from sales of handsets is accrued under books of Oppo India which produces and sells its products, though developed by realme. Oppo did not respond to a query sent on this. Realme India has separately filed regulatory disclosure indicating it will achieve Rs 723 crore sales in current fiscal from services. Samsung and Xiaomi are yet to file their financials for 2018-19 and current fiscal.
(ET, Nov 21, 2019)
Indian Railways—the nation’s largest electricity consumer, with 2.4% of total consumption, and the third largest high-speed diesel user, with 2.6 billion liters consumed annually—plans to install 500 MW rooftop solar plants by 2021-22. Of the targeted capacity, so far 95.67 MW has already been put up on various Railway buildings, including 835 Railway stations, while 248.46 MW capacity is under various stages of execution. This information was shared by Minister of Railways and Commerce & Industry, Piyush Goyal, recently in Lok Sabha. In terms of zone-wise installation, South Western Railway leads with 132 numbers of stations provided with solar panels, followed by East Central Railway (105) and North Western Railway (104). “Solar panels will be installed in other stations depending upon site availability and feasibility,” shared Goyal. “Tenders for 248.46 MW capacity have been awarded by Railway Energy Management Company Limited and are under different stages of execution. This will cover the rooftops of Railway station platforms shelters and various other Railway buildings,” he added. Of the 248.46 MW upcoming capacity, South Central Railway will account for the maximum at 33.14 MW, followed by South Eastern Railway (24.94 MW) and Northern Railway (23.63 MW).
(PV Magazine, Nov 21, 2019)
State-run power producer Damodar Valley Corporation (DVC) has invited bids to set up 50 MWp (AC) of grid-connected solar plant capacity in Jharkhand—a state that is lagging woefully in the transition to renewable energy with around 38 MW of solar generation capacity towards its 2020 target of 2.65 GW. The plant—to be developed in design-build-operate-transfer mode—shall come up at the power producer’s Panchet project in Dhanbad district. It must be designed for annual capacity utilization factor of minimum 19%. DVC shall sign a 25-year power purchase agreement (PPA) with the selected developer, which must commission the plant within 12 months of signing the PPA. Bidders are required to quote a fixed levellised tariff for the entire PPA period. The project along with all its assets shall be transferred to DVC after completion of the entire PPA period. However, if any need arises to dismantle the project after 25 years, DVC will charge Rs 0.02/ KWh of power generated on monthly basis as security deposit.
(PV Magazine, Nov 21, 2019)
He Centre, on Wednesday, in a written reply in the Lok Sabha said it has taken note of reports that emerged in October of a spyware/malware called Pegasus’ having affected some WhatsApp users globally. The Ministry of Electronics and Information Broadcasting said that 121 WhatsApp users had been impacted in India. The ministry was replying to a question raised by AIMIM MPs Asaduddin Owaisi and Imtiaz Jaleel". According to WhatsApp, this spyware was developed by an Israel-based company NSO Group and that it had developed and used Pegasus spyware in an attempt to reach mobile phones of a possible number of 1400 users globally that includes 121 users from India," the ministry informed the Lower House of the Parliament. The Centre dismissed allegations that government agencies were behind the snooping. "Some statements have appeared, based on reports in media, regarding this. These attempts to malign the Government of India for the reported breach are completely misleading. The government is committed to protecting the fundamental rights of citizens, including the right to privacy," the written reply read.
(India Today, Nov 20, 2019)
Samsung India is bringing back television production to India after a year with the government scrapping import duty on the biggest component open cell panel, or displays, said people with knowledge of the matter. The South Korean electronics company is about to sign a deal with homegrown contract manufacturer Dixon Technologies to manufacture television sets up to 55 inches in screen size, they said. These account for more than 85% of the Indian market. The company is evaluating options with other contract manufacturers to further expand local TV production in India, they added. Samsung, the largest television brand in India, is also evaluating whether it can restart the television line in its Chennai plant that was shut in October last year after the government imposed duty on open cell television panels. The company had then started importing finished television sets from its plant in Vietnam through the free trade agreement (FTA) route. In September, the Centre had scrapped the 5% import duty on open cell panels. The display accounts for almost 65-70% of the production cost of LED televisions. There are currently no domestic manufacturers of television panels even though the government has been trying to push local production of this component.
(ET, Nov 20, 2019)
India on Tuesday appealed against a World Trade Organization (WTO) dispute settlement panel's ruling that had recommended withdrawal of its key export subsidy schemes, including the one for special economic zones in the next 90-180 days. India filed an appeal before the organization’s Appellate Body. On October 31, the WTO had ruled that export subsidy programmes-Merchandise Exports from India Scheme (MEIS), Export Oriented Units Scheme and sector specific schemes, including Electronics Hardware Technology Parks Scheme and Bio-Technology Parks Scheme; Export Promotion Capital Goods Scheme; and Duty-Free Imports for Exporters Scheme- violated provisions of the trade body’s norms. Appeals cannot re-open factual findings made by the panel but when a decision is challenged by an appeal by the member-country concerned, it cannot come into effect. Each appeal is heard by three members of an Appellate Body comprising persons of recognised authority and unaffiliated with any government. Generally, the Appellate Body has up to three months to conclude its report.
(ET, Nov 19, 2019)
Morris Garages (MG) Motor India in partnership with Fortum Charge & Drive India have unveiled the first 50 kW DC charging station at MG’s flagship dealership in Gurugram. The Finland based company has announced that the station is now operational for public use, an announcement which comes ahead of the launch of MG’s second model introduction, and its first electric model launch in India – the MG ZS EV. The launch of the ZS EV is scheduled to take place in December 2019. As a part of the tie-up with Fortum, MG has installed four 50 kW DC fast charging public stations in Delhi NCR, located in South Delhi, West Delhi, Noida and Gurugram. Six stations have already been installed at MG dealers in Mumbai, Bengaluru, Hyderabad and Ahmedabad. The locations of the charging stations can be found by registering with Fortum Charge & Drive India through its Mobile App.
(FE, Nov 19, 2019)
Bengaluru’s technological prowess will play a crucial role in making India achieve $1 trillion in digital economy, experts said at the ongoing Bengaluru Tech Summit.The digital economy growth target is in the backdrop of a February report from the ministry of electronics & information technology and McKinsey which stated that India can create over $1 trillion of economic value from the digital economy in 2025, with half the opportunity originating in new digital ecosystems. “In terms of technology, artificial intelligence (AI), machine learning (ML), and data analytics should be mapped with every sector to solve day-to-day problems like water pollution and air pollution," Kiran Mazumdar-Shaw, CMD, Biocon Ltd said. Given that human capital is the most important catalyst in driving the digital economy, Shaw said that Biocon is creating a globally competitive biotech talent in India through the Biocon Academy which leverages the industry experience of Biocon and subject expertise of international education partners.
(LiveMint, Nov 18, 2019)
Chinese handset maker Vivo is evaluating the prospects of starting exports from its Indian facilities, having kicked off a new unit in Greater Noida under the first phase of its broader Rs 7500 crore investment plan for India. “We are open to that [exports] and are waiting for the right time. Exploring the possibility of it is an ongoing thing. We didn't have the capacity for domestic need and the focus is to increase capacity for the same,” Nipun Marya, Director-Brand Strategy of Vivo India told ET. “Rs 7500 crore investment will be made over a longer time frame,” he said. He, however, didn’t share the exact timeframe for the investment. With the new facility, the brand will now be able to produce 33.4 million devices annually, up from 25 million previously, generating 2000 new jobs to locals in the state. With the new manufacturing facility located at WTC Tech zone, Greater Noida, the BBK Electronic-owned company now provides employment in manufacturing to 10,000 people, and plans to provide 5000 new jobs under the phase two of manufacturing expansion, which will start soon.
(ET, Nov 07, 2019)
Within days of government approving a relief package for the ailing corporation, state-owned BSNL has rolled out a voluntary retirement scheme for its employees, and said it expects 70,000-80,000 personnel to opt for it leading to savings of about Rs 7,000 crore in wage bill. BSNL Chairman and Managing Director P K Purwar told PTI that the scheme will be open between November 4 and December 3, and that instructions have already been given to field units to inform employees about the VRS offering. In all, nearly one lakh BSNL employees are eligible for the VRS out of its total staff strength of 1.50 lakh. "This is the best VRS given by the government and BSNL employees should see it in a positive frame of mind," Purwar said. He said the corporation expects 70,000-80,000 employees to opt for the scheme, and added that saving in wage bill is expected to be about Rs 7,000 crore with those numbers. According to `BSNL Voluntary Retirement Scheme - 2019' all regular and permanent employees of BSNL including those on deputation to other organisation or posted outside BSNL on deputation basis, who attended the age of 50 years or above are eligible to seek voluntary retirement under the scheme. The amount of ex-gratia for any eligible employee will be equal to 35 days salary for each completed year of service and 25 days salary for every year of service left until superannuation.
(ET, Nov 07, 2019)
India will not accept any attempt to create monopoly on data by a few companies or countries, and “data imperialism”, Union law and information technology minister Ravi Shankar Prasad has said. “In India, we view privacy seriously and informational privacy is also integral to that. It means a person must have control over his data and its commercial usage,” Prasad told a Commonwealth Law Ministers Conference in Colombo on Wednesday. His comment comes at a time when a major WhatsApp data-protection failure and privacy breach has spurred public outrage and debate over data protection in the country. Prasad said the government plans to soon introduce the Personal Data Protection Bill, 2018 in Parliament after public consultations. Any data protection law should be “technology agnostic, must be based upon element of free consent, no abuse of consent beyond the permissible limits, requisite data protection authorities, and a fair mechanism for data processing”, he said. “Equally there is a need to balance innovation (and) enterprise in data, but with due regard to privacy.”
(ET, Nov 07, 2019)
Chinese smartphone makers, Oppo and Vivo continued their scorching pace of growth in the Indian market in FY19, with both the brands together pushing parent BBK Electronics Corp’s India revenue near the Rs 40,000 crore milestone in their fifth year of operation. As per latest filings made by Oppo and Vivo, the combined sales of these two brands grew by 67% to Rs 38,726 crore in the fiscal ending March 2019 on a relatively higher base. On a standalone basis, Oppo’s sales went up by 80% at Rs 21,524.6 crore, while Vivo grew by 54% at Rs 17,201.79 crore in 2018-19. BBK Electronics also owns OnePlus and Realme smartphone brands whose India sales for FY19 are still not available. In 2017-18, their combined revenue was Rs 23,148 crore whereby BBK Electronics had become the second largest smartphone maker in India marginally ahead of ace rival Xiaomi which was at Rs 23,060 crore. However, BBK Electronics is still not making money in India with both Oppo and Vivo yet to break even. As per the filings, combined losses of Oppo and Vivo went up in FY19 by 47% to Rs 707 crore. While Oppo’s net losses went up by 93% to ₹688 crore in last fiscal, Vivo managed to reduce net losses to ₹19.1 crore from ₹124.3 crore. In contrast, Xiaomi and Samsung were profitable in FY18.
(ET, Nov 07, 2019)
Infosys is looking to cut costs by $100-$150 million this financial year, as it hires freshers to reduce employee costs and rejigs roles for middle and senior management, a top company executive said at an analyst meet. The company’s margins have dropped significantly under CEO Salil Parekh, as it boosted investments to drive growth. The company is, however, now looking at greater cost savings, since a major chunk of its investments has been completed. “There are 21 tracks we are looking at for cost-optimisation. We are targeting $100-$150 million in cost savings as the year goes on,” chief financial officer Nilanjan Roy said on Wednesday. Roy said the firm was focused on improving the bottom-end of its pyramid, which had become more barrel-shaped, by hiring freshers. It was also looking to recreate the pyramid onsite through fresher hiring, he added. Infosys has hired 1,700 freshers in the US and Europe in the past year. Roy said the company would move to an asset-lite model for new infrastructure.
(ET, Nov 07, 2019)
Wang Xiang, head of Xiaomi's international operations, disclosed the company is set to enter Japan next year with high-performance smartphones offering at lower prices. Wang said Xiaomi eventually hopes to partner with wireless carriers, the main distributors for phones in Japan, though he did not mention any specific names, Nikkei Asian Review reported on Tuesday. Initially the products will be available exclusively through the company's own sales channels, including online. During the interactive media session, Wang also tried address data-privacy concerns surrounding Chinese companies. "We cooperate with Google. We have a track record of respecting personal data protection rules in Europe, and we'll do the same in Japan", he said. Additionally, Xiaomi is also set to make its debut in Sweden soon. The smartphone player will hold an event in central Stockholm, Sweden, on November 13, which will kick off at 1 p.m. (local time).
(ET, Nov 06, 2019)
Confirmation of the rapid rise of Gujarati solar has come with the news the state now boasts 2.69 GW of solar capacity – 405 MW of it rooftop PV. The figure has been published on the website of the Gujarat Energy Development Agency, which revealed 169 MW of ground mounted generation capacity and 78.4 MW of grid connected rooftop solar was added from April to October. The latest figures illustrate startling progress from the 170 kW of rooftop PV that was all the solar capacity recorded in the state in 2008-09. Gujarat saw strong solar figures in September, when 25 MW of ground-mounted capacity and 5.3 MW of rooftop PV came online, before dipping last month to just 303 kW of new ground mounted installations and 2,464 kW of rooftops. May was the most productive month for new ground-mounted solar capacity in the current fiscal year, with 52.82 MW coming online. New rooftop arrays topped out in April, when 19.425 MW of generation capacity was added. Diving into the figures for the last two fiscal years shows capacity from new larger installations more than doubling between 2017-18 (264 MW of new projects) and the last full year (620 MW). Over the same period, rooftop capacity additions showed much slower growth, from 117 MW in 2017-18 to 172 MW last year. Gujarat chief secretary JN Singh said this week the state is aiming for 30 GW of renewables capacity by 2022. Starting from a base of 2.7 GW of solar and 7.2 GW of wind, that marks a 6 GW raising of the stakes since January, when the state announced an intent to invest Rs1 lakh crore over three years to add 10 GW of solar and 5 GW of wind generation.
(PV Magazine, Nov 06, 2019)
Samsung Electronics Co Ltd 005930.KS said on Tuesday it will shut down a CPU research division at one of its U.S. facilities, a move that analysts said dimmed prospects for the tech giant's Exynos-branded mobile chips. Exynos mobile processor chips are considered a hallmark of the South Korean firm's attempts to reduce its reliance on memory chips and increase sales of logic chips that are used to power mobile devices and autonomous vehicles. But the proprietary chips, which are found in Samsung's flagship Galaxy series smartphones and compete against Qualcomm Inc's QCOM.O marquee mobile processors, have struggled to find external customers. The decision to shut down the division, which will make some 300 jobs redundant, point to challenges Samsung faces in promoting Exynos chips, analysts said. "(Exynos) chips are not really used anywhere else and continue to lose ground in the mobile processor market, raising concerns about the company's competitiveness," said Park Sung-soon, an analyst at Cape Investment & Securities.
(Nasdaq, Nov 05, 2019)
The Office of Development Commissioner, Ministry of Micro, Small and Medium Enterprises wants to rope in a Public Sector Enterprises (CPSE) for establishment of technology centers across India. DC MSME is planning to establish as many as 20 TCs across India at an approximate cost of Rs 3600 crores. In this context, Office of Development Commissioner (MSME), Ministry of MSME, Government of India intends to engage the services of a CPSE as Project Management Consultant (PMC) for planning, design & monitoring of civil infrastructure, procurement of machines, contract management and providing implementation & monitoring support in establishment of 20 Technology Centres across India. Currently there are 18 operational Technology Centres. 10 are for the tooling industry and 8 are for other industries such as ESDM (electronics system design and manufacturing), glass, footwear, and fragrance and flavour and sports. The Ministry of MSME established 18 Technology Centres (TCs) earlier known as Tool Rooms (10 Nos) and Technology Development Centres (8 Nos) spread across the country. TCs’ primary focus is to support industries particularly MSMEs in the country through - Access to advanced manufacturing technologies; Skilling manpower by offering opportunities for technical skill development to the youth at varying levels ranging from school dropouts to graduate engineers and Providing technical and business advisory support to MSME entrepreneurs. (KNN Bureau).
(KNN, Nov 05, 2019)
India is expected to see M&A deals of over USD 52 billion in 2019 as mergers and acquisitions in the country are expected to remain stable despite global headwinds, according to a new report by Baker McKenzie. "Despite the global headwinds, India M&A is expected to remain stable in the next few years, with private investments reviving against the backdrop of a more favourable business environment," it said. The firm's fifth annual Global Transactions Forecast, jointly released with Oxford Economics, predicts India's GDP will grow by close to 7 per cent through 2019-2022, ahead of the global GDP average growth rate of 2.8 per cent for the same period. In IPOs, total proceeds (which will be predominantly from domestic IPOs) is forecasted to dip from USD 3.4 billion in 2019 to USD 2.7 billion in 2020, before picking up again in 2021 to USD 4.3 billion. India M&A to remain stable despite a slowdown, it said. "India deal making activity is expected to revert to the 'normal' level in 2019, with total M&A reaching USD 52.1 billion."
(ET, Nov 05, 2019)
The US-based electrical and electronics component manufacturer Flex on Monday (November 4) announced that it is planning to expand its business from China to other geographies, including India. According to the TOI report, the company has made up its mind to invest about $500 Mn (over INR 3500 Cr) to increase its manufacturing capabilities in India, and also increasing its exports from India to other markets. In the report, a Flex senior exec said the company’s president Richard Hopkins met with a group of Indian ministers including communications and IT minister Ravi Shankar Prasad on Thursday last week and discussed the opportunities for the company, to shift its production out of China. The decision comes at a time when the China-US trade war continues to affect US-based companies in China, and vice versa. The move taken by Flex is no surprise. And, this trade war, in a way, is attracting global manufacturers to look at countries like India, Malaysia and Vietnam and others, to further expand their business. Additionally, a lot of experts believe that India has to take a quick decision and come up with a policy to compete with Vietnam and Malaysia in a bid to position itself as a global manufacturing hub. However, during their last meeting with the ministry, in October, Flex had stated it would leave India for Malaysia and requested the government to come up with suitable incentives to attract electronics component manufacturers.
(Inc 4, Nov 04, 2019)
Software Technology Parks of India (STPI) is aiming to create around 15,000 direct jobs through North East BPO Promotion Scheme (NEBPS). STPI is an organization under the Ministry of Electronics & Information Technology (MeitY), Government of India. A budget of Rs 50 crore has been allocated to incentivize the establishment of 5000 seats in respect of BPO/ITES operations in the region. This scheme aims at creating an ecosystem in the North East that will unleash development in the region. It will provide a platform to the youth of North East and curtail the migration from the region. Further, the scheme would facilitate investment and attract industry players to explore the opportunities in the area. Dr. Omkar Rai, Director General, Software Technology Parks of India (STPI) said, “Considering the geographical location of the northeastern states, the provision of employment for the youth of the region would boost the economy and propel them towards the mainstream. The government is trying to infuse development in the region. The scheme would have a domino impact as it will create an enabling environment through the creation of an ecosystem, provide jobs and bring investment in the area.
(ET, Nov 04, 2019)
The newly-appointed resolution professional (RP) for the Videocon group has sought expressions of interest (EoI) for 13 group companies undergoing resolution using the Insolvency and Bankruptcy Code (IBC), according to a document seeking bids. This comes after the Mumbai bench of the National Company Law Tribunal (NCLT) on 8 August approved consolidation of the separate resolution processes and approved the change of RP on 25 September. The committee of creditors (CoC) led by State Bank of India (SBI) voted with a majority of 93.5% to appoint Abhijit Guhathakurta as the new RP, replacing Mahendra Khandelwal. “Pursuant to the provisions of the IBC and the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, as amended and the NCLT Order, interested and eligible prospective resolution applicants are invited to submit expression of interest for submission of resolution plan for the consolidated corporate debtors," the document said. Among the twenty lenders to these companies are Allahabad Bank, IDBI Bank, Indian Overseas Bank, Jammu & Kashmir Bank, Bank of Maharashtra, Bank of Baroda, United Bank of India and Canara Bank. Prior to the consolidation, claims of financial creditors of Videocon Industries stood at ₹59,451.87 crore, as on 12 November, 2018 and has not been updated since. State Bank of India’s (SBI) claims were at ₹11,175.25 crore, IDBI Bank ( ₹9,561.67 crore), Central Bank of India ( ₹5,066.77 crore). Claims of financial creditors Videocon Telecommunication Ltd, another group entity, was at ₹26,673.81 crore, with SBI being the largest claimant at ₹4,605.15 crore, as on 12 November, 2018.
(LIveMint, Oct 14, 2019)