India surging towards smartphone manufacturing. | Next tech giant.

Tech and equipment company Micromax is pivoting to smartphones, especially because of the political geopolitical situation between China and India

This is a great opportunity for us,  Driven to move part of its production outside, India wants to be their next best option. It has a larger and cheaper workforce and the government is offering generous subsidies, while a more open regulatory regime before the trade war. Even when India was third in the global production of mobile phones after Vietnam and China, But tension with growing tree India is now in second place and China is starting to lose market share there is no other country that has the infrastructure that we have and the manpower we have is our biggest asset And we're hoping to capitalize on that.

India's plan to build a competitive smartphone supply chain for China is a technological and logistical feat testing whether India can become the world's next smartphone superpower. India is not starting from scratch Sunil Jun is head of products at Micromax and says " the company has been making home appliances since 2000. Assembling or manufacturing the display of a mobile phone and TV share similar technology and experience Micromax's first Android One phone in the early years, 

The company was actually in the smartphone business designing and putting them together with around 90 components in the country. China may be furious, but Micromax's phone business once flooded with cheap Chinese products", Now the company is dusting off its skills and intensifying its manufacturing capabilities to get back in the game. Jun says that a major technical challenge was the motherboard that keeps all the key components of the smartphone in the same setup, the same machine, the same device. 

It is the LED TV motherboard whereas it is a set of four motherboards for mobile phones but the motherboard is just one of over 700 components that go into a smartphone and Micromax has been given to other Indian companies in the production of those parts for more than two decades. Pankaj Shakdev is producing batteries for electric fans, remote controls, and mobile phones. He says "It was actually a natural extension of what we were doing as we were already in the battery business as merchants". His challenge was to create a battery that would power a smartphone for two days. So now this is the finished product that you are looking at here it is kept at a high temperature for 72 hours to make sure nothing goes wrong with the battery and at a high temperature, Shakhtar say yes that is now a smartphone that we want to focus on battery, the smartphone is the future, so of course, we have to be ready for that market as well, also we are expecting this ecosystem to cater not only to India but also domestically.

 But it can be developed in a better way. As well as the global market, in just six months Micromax proved it can design and put together its smartphones, it is now rolling out phones made in India, at this spurt in India's smartphone production capacity. The buildup has caught the attention of tech giants, Samsung has discontinued all its smartphones. By 2019 it opened manufacturing facilities in China and one of its biggest factories in India, even Apple supplier Foxconn is now producing iPhones in the country.

 Sarkar Tech It is also adding incentives for companies to grow their business. the country so it is offering them to pay up to six percent of the value of additional mobile phones sold every year this is a brand new expansion as we have done it took us two weeks to expand to this level Micromax claims that 60 percent of the value of its phone components is currently sourced from India and with the help of the government the company hopes to get one hundred percent in three years. something that will still take five to ten years, At least Varun Mishra is an analyst who has been looking at the Indian smartphone industry since the start of the trade war, he doesn't think it is possible for a company like Micromax to source most of the components locally right now because India's tech industry, The UK still has a long way to go, the value added by locally sourced components is 12 on these components and these manufacturers you know they require very sophisticated infrastructure, very Uh you know the strong policy framework, while the country has been able to produce simple components like battery chargers or phone exteriors, it hasn't yet faced the challenge of a replacement for more sophisticated technology like LED screens or memory chips.

 Building a domestic and strong supply chain and most of these components are still coming from China, Even the raw materials that go into batteries produced at Shakdev's factories control lithium supplies globally. We have no choice but we are dependent on them now, we are hoping that over the years we can change that and it is already India that has signed agreements with Australia and Bolivia to tap its large lithium reserves. but unless India can completely peel away from Chinese suppliers, its smartphone ambitions are in jeopardy, For example, a border dispute in the Himalayas between China and India led to a boycott of Chinese products [MUSIC] Indian customs officials started manually checking technical components imported from China which stalled Micromax's for months. 

This shortage of production and parts came on top of the impact of the coronavirus pandemic COVID 19 H19 as the entire supply chain was heavily impacted, components procurement became very difficult, the economy was greatly affected, especially in India There was a lot of job loss in the unorganized economies so that India could achieve its goal of becoming a world. Smartphone leaders must first tackle problems at home so that India can achieve its goal of becoming of the world.

 Smartphone leaders must first tackle problems at home so that India can achieve its goal of becoming of the world. Smartphone leader must first tackle problems at home

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