Expanding laptop assembly with top brands under India’s PLI scheme, Dixon Technologies announced Dixon Teletech for IT components production, eyeing ₹35 billion revenue by FY26.
Contract manufacturer Dixon Technologies announced on Tuesday the formation of a wholly-owned subsidiary, Dixon Teletech, to manufacture components for IT hardware products.
As part of its expansion, Dixon is setting up facilities to increase laptop assembly under the government’s production-linked incentive (PLI) scheme for IT hardware. It has secured orders from four laptop brands: HP, Lenovo, Acer, and Asus.
In a regulatory filing, the company stated that the subsidiary had been established to produce and trade various Information Technology products, including IT hardware components, related equipment, and their parts.
Furthermore, Dixon announced that it has subscribed to 10,000 equity shares of its newly incorporated subsidiary, Dixon Teletech, at a face value of INR 10 each, for a total cash investment of INR 100,000.
The company is targeting INR 35 billion in revenue from its IT hardware business by FY26 and projects a total of INR 480 billion over the next six years.
Dixon has become a significant player in the local electronics manufacturing industry thanks to its successful execution of PLI targets and government incentives, particularly in smartphone production for brands like Samsung, Motorola, Xiaomi, and Jio.
This expansion comes as global IT hardware companies are looking to set up manufacturing units in India. The government’s current import authorization regime for personal computers, laptops, tablets, and servers is expected to expire by the end of December 2024.
Starting January 1, 2025, importers must apply for new authorisations, although detailed guidelines have not yet been issued.
