$20 Million: Wistron Invests in Karnataka for New Factory Line, Sets Sights on $40 Million Expansion

$20 million approved for ICT Service Management Solutions (India), a Wistron subsidiary.

Introduction

Wistron Corporation, a key player in the global electronics manufacturing industry, has announced a $20 million investment to establish a new factory line in Karnataka, India.

This move signifies Wistron’s continued commitment to its operations in India, even after exiting the iPhone assembly business. The investment strengthens the company’s laptop manufacturing capabilities, supports its goal to expand after-sales services, and boosts local production.

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Key Highlights

  1. New Investment: $20 million approved for ICT Service Management Solutions (India), a Wistron subsidiary.
  2. Larger Commitment: A total of $40 million earmarked for after-sales service production.
  3. Land Acquisition: 32 acres purchased for ₹160 crore in Devanahalli, Karnataka.
  4. Future Plans: Laptop manufacturing set to begin by January 2026.
  5. Partnership with Karnataka: Signed MoU with the state government for a ₹1,500 crore project.

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Investment Details

The newly approved $20 million is part of a broader $40 million investment in ICT Service Management Solutions (India), facilitated through SMS InfoComm (Singapore). ICT specialises in parts procurement, warranty repair services, and logistics, which are critical for supporting Wistron’s laptop manufacturing operations. The facility will handle inventory management, logistics, and circuit board repairs, laying the groundwork for a robust supply chain.

Karnataka: A Strategic Choice

Wistron has deepened its ties with Karnataka through significant investments. Earlier this year, the company signed a memorandum of understanding (MoU) with the state government, committing ₹1,500 crore to a laptop manufacturing facility. Over 50% of the laptops produced are slated for export, underscoring Karnataka’s potential as a global manufacturing hub.

The company also acquired a 32-acre land parcel in the Hi-Tech Defence & Aerospace Park in Devanahalli for ₹160 crore. The proximity of the new after-sales service production line to the upcoming laptop manufacturing plant will streamline operations and reduce logistics costs.

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Transition Post iPhone Manufacturing

In October 2023, Wistron exited the iPhone assembly business in India, selling its Karnataka plant to Tata Group for $131 million (over ₹1,000 crore). This marked a historic moment as Tata Electronics became the first Indian company to manufacture iPhones for domestic and global markets. Despite this exit, Wistron continues to operate in India through three subsidiaries:

  1. ICT Service Management Solutions: Focused on import-export, service, and maintenance operations.
  2. Smartiply India: Develops internet platforms and IoT products.
  3. Wistron Automotive Electronics (India): Specialises in automotive electronics, R&D, and design.

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Industry Implications

Wistron’s latest investment reinforces India’s position as a key player in the global electronics manufacturing landscape. The laptop manufacturing plant, expected to be operational by January 2026, is poised to generate significant economic benefits, including job creation and increased exports.

Industry experts highlight ICT’s role in sourcing parts for laptop production from domestic and international suppliers. This aligns with India’s vision of boosting local manufacturing under the government’s “Make in India” initiative.

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A Strategic Pivot

By focusing on laptops, IoT, and automotive electronics, Wistron is diversifying its product portfolio in India. The company’s emphasis on after-sales services reflects a strategic shift to enhance customer satisfaction and build long-term relationships.

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Conclusion

Wistron’s $20 million investment is a strong testament to its commitment to India. With robust plans for manufacturing, after-sales services, and a focus on local sourcing, the company is well-positioned to contribute to India’s growing electronics ecosystem. The Karnataka facility is set to become a cornerstone of Wistron’s operations, supporting its vision for sustainable and scalable growth.

Tags: Wistron, Karnataka, Laptop Manufacturing, ICT Service Management, Electronics Industry, Make in India, Investments in India.

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Kumar Priyadarshi
Kumar Priyadarshi

Kumar Joined IISER Pune after qualifying IIT-JEE in 2012. In his 5th year, he travelled to Singapore for his master’s thesis which yielded a Research Paper in ACS Nano. Kumar Joined Global Foundries as a process Engineer in Singapore working at 40 nm Process node. Working as a scientist at IIT Bombay as Senior Scientist, Kumar Led the team which built India’s 1st Memory Chip with Semiconductor Lab (SCL).

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