Apart from the existing big tech groups like Reliance Jio in the industry, Tata Group is another big name in the industry when it comes to telecom equipment manufacturing. However, in a new move, Tata Group chairman N Chandrasekaran said that the company is looking to make a foray into semiconductor manufacturing in India. The exec also added that the total opportunity for the business venture is north of USD 1 trillion, and Tata Group has already set up a business to acquire this market. Currently, Tata Group’s valuation soars north of $ 100 billion with presence all over the world. It’s only been a few days since Tata Group announced its entry into 5G equipment manufacturing and has already started making some acquisitions of businesses to grow Tata Digital Services.
Chipset Manufacturing to be a Viable Business Avenue
Chandrasekaran also added that delving into the silicone business meant more than just designing chipsets and includes a vast array of things. He also said such a business requires high investment and facilities, which India currently lacks. Further, explaining the rationale, he said that with the pandemic raging, a lot of companies would look to shift their reliance away from China to different countries for their chipset needs; that is why India becomes the second base which is a huge opportunity.
He remarked that India could benefit greatly from the geopolitical shifts that are happening in the world and most opportunities lay in the fields of high-tech manufacturing of electronics, precision manufacturing, assembly and testing and semiconductors in the medium term. The report comes from PTI. He made these statements at the IMC Chamber of Commerce and Industry's AGM.
Chairman Also Speaks on Other Tata Group Businesses
The Tata Group chairman also added that there are four themes that seem to be emerging on the horizon right now, which include rapid digital acceleration, a new approach to supply chains, a re-imagination of growth with environmental sustainability. He said that Tata Group happens to be developing businesses along these lines only, and that would include discretionary spending and new acquisitions. On the matter of environmental sustainability, he said that businesses should not have vague and distant goals and that there would be 20 new sources of power in the next two decades. Digital technologies and manufacturing, he said, would also add around 30 million jobs apart from creating new markets.