Jio and Airtel to locally manufacture telecom gear with Samsung
By MYBRANDBOOK
Korean telecom gear Samsung is in talks with Reliance Jio and Bharti Airtel for 4G expansion and 5G supply contracts.
Samsung has conveyed to the telecom department about its intention to apply for the next edition of the production-linked incentive (PLI) 2.0 scheme for network equipment to locally manufacture 4G and 5G products.
Samsung can benefit greatly from the PLI scheme for the telecom sector while India will see more employment opportunities and a boost in its economy.
In mid-2021, Samsung decided not to take part in the initial PLI scheme for network equipment, reasoning that setting up a plant for network equipment was not viable at that time in India with just Reliance Jio Infocomm.
It had then told officials in the Department of Telecommunications (DoT) that its plants in Vietnam, South Korea and China have sufficient capacity for global demand, including to meet demand for Jio’s 4G network.
Samsung has been importing the equipment duty-free through the free trade agreement (FTA) route from South Korea and Vietnam. Jio, on its part, is currently trialling its own end-to-end 5G stack across the country. Samsung is currently conducting 5G field trials with Jio.
Jio President Mathew Oommen had recently said that the carrier was open to adopting “third party technology”, other than its own technology, for its 5G networks. Samsung is one of the key players to be leveraging the Indian government’s PLI scheme for mobile phones.
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