Brief

Dixon Technologies partners with Taiwan’s Gemtek to expand telecom manufacturing

The joint venture aims to boost component production in India and start output by Q4 FY27.

By Felo News Desk · Published

Dixon Technologies announced on 11 Oct 2026 that it has signed a joint‑venture agreement with Taiwan’s Gemtek, creating Dixon Electroconnect in which Dixon holds a 60 % stake. The partnership will manufacture optical transceivers and other telecom equipment, with production slated to begin in the fourth quarter of fiscal year 2027.

Atul B. Lall, Vice Chairman and Managing Director of Dixon, told the New Indian Express that the move deepens the company’s component‑manufacturing capabilities and is aimed at the fast‑growing artificial‑intelligence and data‑centre markets. He said the venture will help shift India’s perception from a pure‑assembly hub to a genuine manufacturing base.

Lall also discussed the Indian government’s new mobile‑manufacturing scheme, which replaces the earlier Production‑Linked Incentive (PLI) programme. He described the scheme as three‑fold: enhancing export competitiveness, increasing the use of local components, and supporting design and domestic brands. He affirmed Dixon’s intention to participate actively, citing recent statements by the minister that the policy could foster new Indian smartphone brands.

The company, already a major mobile‑phone exporter with roughly Rs 5,500 crore in smartphone sales last year, is also integrating its existing joint venture with Vivo. Lall said trials with Vivo are expected within the current quarter. He added that Dixon will join the telecom‑equipment manufacturing zone planned for Gwalior, pending the completion of infrastructure and a forthcoming bhoomi pujan ceremony.

Key facts

  • Dixon Technologies holds a 60 % stake in the new joint venture Dixon Electroconnect with Taiwan’s Gemtek. (newindianexpress.com)
  • The JV will produce optical transceivers and telecom equipment, targeting AI and data‑centre markets. (newindianexpress.com)
  • Production is scheduled to start in Q4 of fiscal year 2027. (newindianexpress.com)
  • Dixon plans to participate in India’s new mobile‑manufacturing scheme and the Gwalior telecom‑equipment zone. (newindianexpress.com)
  • Trials with Vivo are expected to begin within the current quarter. (newindianexpress.com)

Sources

  • [1] newindianexpress.com — originally reported as “India’s electronics manufacturing is not just assembly: Dixon’s Atul B Lall”

Earlier coverage

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