India To Soon Get First Display Fab Unit In Telangana; What It Means For The Sector?

India will finally be getting its first display fabrication facility. Rajesh Exports-backed Elest has signed an agreement with the Telangana government to set up the country's first Display Fab unit in the state. The company has announced an investment of Rs. 24,000 crores to build the facility. Thanks to the facility, India will emerge as one of the leading suppliers of displays and related tech.

Developing Displays For Phones, TVs Using Advanced Technology

The country's first display fabrication facility will be making Generation 6 Displays for devices like smartphones, tablets, TVs, laptops, and much more. Elest will be partnering with the most advanced and finest research hubs across the world to build the Display Fab unit in the country. The facility will also help with the ongoing crisis of semiconductor components shortage across the globe.

Elest submitted applications for the display fabrication plan to the Telangana government earlier this year in February. The project was approved late Sunday evening. It is one of the largest investments in the country's technology manufacturing sector.

India's First Display Fabrication Unit Is Part Of The Semiconductor Mission

In December 2021, the Union Cabinet approved a budget of Rs. 76,000 for semiconductor and display manufacturing in the country. The facility will be part of the India Semiconductor Mission to boost the growth of homemade displays and semiconductors. The Display Fab unit will also be transforming Telangana into one of the most attractive investment regions for tech companies. The facility will also be given extended financial support of up to 50 percent of the project cost.

The Display Fab facility will also be generating more than 3,000 direct job opportunities for scientists and advanced technology professionals in the country. The same will also create a larger ecosystem of partners and suppliers, mentioned Chairman of Rajesh Exports, Rajesh Mehta. The company is planning to setup up a local research and development center for next-generation displays in the country very soon.

Boosting Laptop, Smartphone Production In India

India's smartphone and laptop market will get a major boost from the first in-house Display Fab. Smartphone production has increased in India due to the factories launched in the past couple of years. However, the laptop and tablet segment is still largely dependent on China, Taiwan, etc. The local production of components like the upcoming Display Hub will also help cost reduction of smartphones, laptops, etc.

It's worth mentioning that India now has over 200 mobile manufacturing units as compared to just two in 2014. Notably, companies like Apple and Samsung have also increased production in India, which they also outsource to other markets. So we can certainly expect Telangana's Display Hub to further boost the production of smartphones, laptops, tablets, and other devices in the country.

The first Display Fab in Telangana will put the country on a global map at par with select regions like China, USA, and Japan. The government is reportedly also planning to approve applications for a couple of more Display Fab units in the country.