It’s tough getting global telecom gear makers to set up plants

Mumbai: The telecom department’s planned production-linked incentive scheme to encourage local production of telecom network equipment has hit a hurdle, with companies hesitant to commit ₹500-700 crore needed initially to set up plants, people familiar with the matter said.

Unlike the incentive scheme for the handset industry, which has attracted Apple and Samsung, getting companies such as Ericsson, Nokia and Samsung to open their purse strings is proving to be tough, given the weak state of the Indian and global telecom market, which is dependent on 5G for a big push.