Google’s Made in India Pixel 8 devices in production, lures global tech companies

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Google (NASDAQ: GOOGL) has started production of its first batch of made-in-India Pixel 8 smartphones, significantly boosting India’s ambition to become a global tech manufacturing powerhouse.

“Excited to announce that the first of our Made in India Google #Pixel8 devices have started rolling off the production lines,” Google India said on X, after about 10 months since it announced its plans for production in India.

Excited to announce that the first of our Made in India Google #Pixel8 devices have started rolling off the production lines 🥹

Grateful for the partnership with Hon'ble Minister @AshwiniVaishnaw as we look forward to bringing the #TeamPixel experience to people across India 🤝 pic.twitter.com/6nKvvcyFkj

— Google India (@GoogleIndia) August 12, 2024

Make in India is an initiative by the Indian government to create and encourage companies to develop, manufacture, and assemble products in India.

“‘Made in India’ Google Pixel 8.. production begins,” confirmed Ashwini Vaishnaw, India’s Electronics and Information Technology Minister, in an X post.

The tech giant’s made-in-India Pixel 8 production is in sync with the Narendra Modi-led government’s ambition to position India as an alternative for global tech companies looking to reduce dependence on China for their supply chains, especially the European Union and the U.S., where trade wars with China have increased in recent years.

India has also lured suppliers for major U.S. corporations like Apple (NASDAQ: AAPL). About 25% of all iPhones are expected to be made in India by 2028, from only 5% to 7% of Apple’s manufacturing in January 2023.

Simultaneously, South Korean electronics major Samsung houses Noida, one of its biggest mobile phone factories in India, will soon start making laptops. Meanwhile, Microsoft (NASDAQ: MSFT) is reportedly investing $3.7 billion for the construction of data centers in Telangana in South India. These data centers will offer 660 megawatts of information technology (IT) potential. At the same time, Amazon (NASDAQ: AMZN) plans to invest about $12.7 billion in cloud infrastructure in India by 2030.

‘Terrific country’

India has announced its ambition to become a $35 trillion, fully developed economy by 2047, leveraging emerging technologies as a key catalyst for growth.

“India is a terrific country to do business in. There are a lot of opportunities there with 860 million on the internet and a lot of innovative entrepreneurs,” Henry Kravis, co-founder of Kohlberg Kravis Roberts & Co., said at the annual leadership summit of the U.S.-India Strategic Partnership Forum (USISPF). Under Henry’s leadership, KKR has invested over $11 billion in India, creating thousands of jobs and boosting the Indian economy.

India, the world’s fastest-growing major economy, is looking to transition from a global information technology (IT) service provider to an IT product superpower while leveraging technology to boost economic growth and global recognition.

“Becoming a product nation is an ambition that India has,” S Krishnan, Secretary at the Ministry of Electronics & Information Technology, said at the 33rd Foundation Day celebrations of Software Technology Parks of India (STPI). The STPI is an autonomous body set up to promote India’s IT and IT-enabled services (ITES) industry.

“India’s global recognition is no longer limited to “IT services” but the country is emerging as a strong player in software product innovation,” Krishnan said in a report released during the Foundation Day celebrations.

According to NITI Aayog, the central public policy think tank of the government of India, the global electronics market, valued at $4.3 trillion, is dominated by countries like China, Taiwan, the United States, South Korea, Vietnam, and Malaysia. India currently exports about $25 billion annually, representing less than 1% of the global share despite having a 4% share in global demand.

“To enhance competitiveness, India needs to localize high-tech components, strengthen design capabilities through R&D investments, and forge strategic partnerships with global technology leaders,” NITI Aayog said.

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