The Indian government has given the green light to a whopping 27 tech giants, including Dell (NYSE:DELL), HP (NYSE:HPQ), Lenovo (OTCPK:LNVGY), Foxconn (OTCPK:FXCOF), Asus (OTCPK:ASUUY) and Acer (OTC:ACEYY), to receive subsidies as part of a production-linked incentive scheme. This move aims to ignite a resurgence in domestic manufacturing of IT hardware. The companies are anticipated to inject an approximate $359.9M into the market, with the total value of IT hardware production projected at a staggering $42B.
According to a government statement, India’s minister for electronics and IT Ashwini Vaishnaw revealed that 23 companies are geared up to commence production from day zero. This initiative aligns with Prime Minister Narendra Modi’s vision to transform India into a global hi-tech manufacturing hub, with the PLI scheme encompassing laptops, tablets, all-in-one PCs, servers, and ultra small form factor devices. These measures come at a crucial juncture marked by escalated scrutiny of Chinese firms in India, sparked by geopolitical tensions.