Increase of import is a major concern- BIF report

Broadband India Forum (BIF) has released a report highlighting the challenges faced by the mobile handset manufacturing sector in India on Thursday. The report has been prepared in partnership with IIM Calcutta and Thought Arbitrage Research Institute (TARI).

Representational Image

The report highlights some significant issues affecting the mobile telephony and telecommunication equipment sector growth, taking a toll on Make In India. The fact is that the sectoral growth is largely driven by imports. According to the report, the share of mobile and other telecommunications equipment in the country’s total import basket is increasing and currently stands at 26.4 per cent. The share of Chinese products in this basket is rising, from 64.3 per cent in 2012/13 to 69.4 per cent in 2016/17.

There is small manufacturing value added (MVA) by Indian manufacturers due to the high dependence on imported components. Another issue is that mobile technology innovators, who are also the Standard-Essential Patent (SEP) owners, have often held the view that they do not make sufficient economic gains for their investments in research and development (R&D). On the contrary, mobile manufacturers state that the royalty claims on use of licensed technologies is too high.

The study estimated the royalty yield by analysing the Intellectual Property Rights (IPR) revenues (earnings from IPRs in their annual report/filings) of 10 global companies, which includes major mobile technology innovators and licensors as a percentage of the mobile sales in the global setting. The R&D expenditure of the mobile license holders is in the range of 10.3 and 35.8 per cent of their total revenue, with a median of 21.9 per cent, which is among the highest when compared with other industries.

According to Business Today T.V. Ramachandran, President, Broadband India Forum, said: “With an increasing number of foreign manufacturers now manufacturing in India, Indian companies must be willing to step up their innovation and R&D efforts to remain competitive in their own market. India’s domestic mobile handset manufacturers remain largely reliant upon the innovations and standards set up by the international players and organisations.By stepping up its innovative framework the Indian mobile industry will be better placed to contribute to the global standardisation process. This will also determine its role in the upcoming 5G ecosystem that promises to be truly transformational and one that the government intends to deeply integrate with the flagship Make In India programme.”

- Advertisement -
Loading form…

Industry's Buzz

Anoop Kumar Rai Takes Charge as BEL Director (Marketing)

0
Beyond defence applications, Rai has driven BEL’s diversification into civilian infrastructure Bharat Electronics Limited (BEL) has appointed Anoop Kumar Rai as its Director (Marketing), effective...

BEL Appoints Ambrish Tripathi as Director (Human Resources)

0
Tripathi’s appointment comes as BEL continues to expand its capabilities across defence and strategic technologies Bharat Electronics Limited (BEL) has appointed Ambrish Tripathi as Director...

Suzlon Adds 250 MW Torrent Order, Crosses 1.1 GW in FY27 Orders 

0
Suzlon has secured a 250 MW wind energy order from Torrent Green Energy, taking their cumulative partnership to more than 1.3 GW across three...
Chip Making (representational Image)

India to Revise Semiconductor Rules Within Two Months, Says Piyush Goyal 

0
The planned changes aim to simplify approvals and make it easier for semiconductor manufacturers to source equipment and components from global suppliers.  India will amend...

North American EMS Book-to-Bill Ratio Rises to 1.29 in July 2026

0
The Association cautioned that month-to-month movements can be affected by seasonality and short-term volatility The North American electronics manufacturing services (EMS) sector recorded a book-to-bill...

Learn From Leaders

(L-R) Nikesh Gondchawar, Strategic & Technical Advisor – Robotics Manufacturing; Shrikrushna Kakade, Founder Partner; Nikhil Kakade, Senior Technical Advisor – Robotics & Control Systems, SlightGen Solutions LLP

“A Made-In-India Robotic PCB Soldering System That Automates The Through-Hole Soldering Process!” – Shrikrushna...

0
Electronics manufacturing is complex, and automation often comes at a high cost. To bridge this gap and offer a more affordable solution in India,...
Navdeep Narula, Executive Director, Client and Endpoint Solutions, Ingram Micro, India

“Enterprise Computing Is Shifting From CPU to GPU And Now Toward NPU-Based Systems ”...

0
The shift from CPU to GPU to NPU-based computing is redefining today’s enterprise endpoints. In an exclusive conversation, Navdeep Narula from Ingram Micro discusses...

India’s Robotics Push Opens New Hardware Opportunities

0
How do you build India’s physical AI future when critical robot components still come from overseas? Niqo Robotics reveals where the gaps remain.  India’s push...
Gadhadar Reddy, CEO and Founder, NoPo Nanotechnologies

How A Material Thinner Than Human Hair Could Transform EV Batteries And Electronics –...

0
What if a material 200,000 times thinner than a human hair could transform EV batteries, semiconductors, and advanced electronics? NoPo Nanotechnologies is making that...
Raja Rajeev Kumar, Mentor at IIT Startups, Chairman of the Board of Trustees, LaxmiRamaVarma Holdings International, and Founder and CEO, ChromoSoul Ventures

“Build Strong Startups, and Funding Will Follow”- Raja Rajeev Kumar, IIT Startups, LaxmiRamaVarma Holdings...

0
While AI and software startups attract attention and capital, electronics ventures often struggle for both. Raja Rajeev Kumar from IIT Startups, LaxmiRamaVarma Holdings International...

Startups

(L to R) C2i Semiconductors Founders—Vikram Gakhar, Founder & Director, Mixed Signal; Preetam Tadeparthy, Founder, CTO, VP, Engineering; Ram Anant, Founder & CEO; B.S. Dattatreya, Founder & Director, Power

Bengaluru Startup Targets AI Data Centre Power Delivery

0
C2i is building power systems that can help AI servers use electricity more efficiently and reliably. Two friends, Ram Anant and Preetam Tadeparthy, were working...
(L-R) Sri Kusulu Devalla, Co-Founder and Hetendra Singh Rathore, Founder, Segritech

“We don’t just sort fruit; we match every quality grade with the right buyer.”...

0
An agritech startup has developed an AI-powered machine that sorts and grades fruits directly on farms, helping reduce post-harvest losses by connecting produce with...
Akshar Vastarpara, Founder and CEO, Vicharak

“Our SBCs Are Designed As Complete Edge-Computing Platforms That Combine Everything On A Single...

0
An Indian startup builds affordable edge AI boards for robots, drones, and industry, positioning them as Raspberry Pi alternatives. In an EFY interview with...
Dr Naveen Yanduru, CEO, Axiro Semiconductor Private Limited

“India Can Lead In IP—If It BacksIts Own Builders”

0
Axiro Semiconductor designs RF and satellite chips, ships millions worldwide, and retains its startup mindset while tackling complex technical challenges. In a conversation with...
Dr Sanjay Ahuja, Founder and CEO of Cionlabs, India

“We are solving India-specific challenges rather than offering generic ‘black box’ IoT solutions.”

0
From hybrid mesh networking to AI-enabled edge devices, an Indian IoT startup is developing home-grown solutions to improve connectivity, strengthen privacy and support the...