India’s unique electronics ecosystem

The role of electronics is increasingly impacting all aspects of our daily life. Fundamental changes are simultaneously taking place on various converging fronts—the stabilization of available technologies, emergence of new ones, shift in importance from just functionality to overall efficiency, increasing economic status, and changing demographics—are being the influencing agents, to name a few. Add to this the increase in demand requirements of energy efficiencies, green technologies, security, and the stage is set for a new, exciting phase in embedded-electronics design.

Domains that are of significant interests to all stakeholders include consumer electronics, industry automation, and healthcare. New technologies that will be at the core of the solutions include solar energy, energy harvesting/alternative energy, LEDs, and video processing.

One aspect that is different from earlier times is that the key markets are increasingly the ‘silicon sea’ geography – the Indian subcontinent to Japan. Never before in recorded history did such a confluence of market conditions prevail—the M3 phenomenon—makers, materials and markets. All of these are making our era an inflection point in modern times.

The evolving demographics of the customer base means, more than ever, the need for solutions with best footprint (in all aspects) and have the right cost-performance balance. And that need is for comprehensive solutions and not just individual components alone.

A solution will typically comprise of (one or more of): semiconductors, hardware (board), software, embedded, application, and maintenance. Thus the essential skills will include domain knowledge, expertise in standards, protocols, ability to design chips, boards, SW development skills, board and system design, testing skills, and solution validation. Essential business conditions include infrastructure, ecosystem and talent.

The Silicon Sea ecosystem is composed of nations that are specialized in various elements of this delivery chain:
- Singapore: Electronic ecosystem includes manufacturing and design; business-wise, is close to ideal business support environment
- Hong Kong: Business ecosystem is the business coordination with China
- Taiwan: Electronic design – chips, boards, systems; manufacturing; defining a product and solution
- Malaysia: Manufacturing, system assembly
- South Korea: Electronic design – chips, boards, systems; manufacturing; SW development; product definition, design; testing; and market
- Japan: Electronic design – chips, boards, systems; manufacturing; SW development; product definition, design; testing; and market
- China: Electronic design – chips, boards, systems; manufacturing; product design; and vast market

A glance at the ecosystem makes it abundantly clear that all vertices of the overall picture are well in place on the whole, with each market having a special skill and niche to itself. Some of these ecosystems specialize in specific aspects, for instance Taiwan in manufacturing and systems design; South Korea for consumer electronics design and manufacturing; and Singapore for over all ecosystem. But, none of these are a complete package by themselves, which is an inherent shortcoming.

Special players in this context are China and India; each with their specific USPs. China is world renowned for its infrastructure, regulatory influence and support, manufacturing, assembly and delivery of products for global markets – it has the most seasoned supply chain for international delivery. In addition, it is the world’s biggest market. Proprietary systems are at the heart of China’s strategy, and unique local requirements act as further hindrances for outsiders’ entry into this market.

In other words, China is a huge opportunity for players within – for accessing both internal and international markets but not quite for outside players wanting to have a presence within it. Where China falls short, when compared with its other peerless capabilities is in its software skills, and coming up with original end products, though it is fast at work to overcome them. Then there are the widely held perceptions about the “intellectual property (IP) practices”. Typically, as long as the offerings are in “established domains”, mass produced, which play to its strengths, China ends up being a winner.

India is a unique ecosystem with “well chronicled shortcomings”. India is traditionally identified more with implementation and less with innovative design conceptualization and realization. Its infrastructure and regulatory ecosystem are fledgling, at best, compared to what they should be for all the promise, potential it has. These have less than welcoming impact on the overall cost of running business and end product.

Yet, what it has in abundance are uniquely Indian – the vibrancy, the spirit, the soul, the talent. Its more than two decades of international design work, in various forms, coupled with its strong roots in global technology and product ecosystems are slowly but surely positioning India among the most sought after. India can be construed as an emerging giant evolving from being an eternal enigma into an ethereal excellence, whose assets overwhelm its limitations. Some highlights:
- Internationally proven
Almost all the highest selling products in global markets have at least some, typically crucial, contributions from India – from iPod to Razor to DSPs, video processors, graphics processors. The list goes on.
- Semiconductors chip design
India is a well adorned semiconductor nation with well established internationally validated design culture, teams, track record
- Software
India is eponymous for software and is its most significant differentiator
- System design
India is home for some of the most advanced system designs around. Not just in general electronics, but including in military and space. It lacks the track record in designing high performance computing, communication and network systems for sure. Yet, decades of working with and developing/adapting proven systems have reduced the barriers, and it is fast catching up. In the domains of control systems, currently in demand domains related to energy, security, automation, India is right there at the very top of the global echelons.
- Teams and work culture
It’s about more than two decades since India started its high-tech odyssey. This means there it has the most number of seasoned engineering professionals than anywhere in the world, bar the US, with well proven delivery track records

The above is just like scratching the surface. There are a lot of special, systemic benefits that only India can offer. A glimpse of these differentiators:
- The local market is enormous and is now beginning to warm up. Developing a solution for India is same as developing for the world – one can ad(o)apt it to anywhere in the world, period. Hence, it is like one effort and very many avenues to success
- Adapts to global standards – in protocols, products, processes, and language
- Business friendly regulatory system, which, while not quite the perfect one, knows that it is not and continuously strives to improve
- Ecosystem, the friendliest, most proactive at the very top. The policies, procedures are driven by the industry and formulated by the administration
- Modern world values – environment, human rights (which all add up to coming with advanced, profitable products), and legal system – IP rights and patents, are on par with the very best in the world

The unique facet of India is its leading role, in not just adhering to but even formulating new standards for controlling global warming, developing green technologies, and renewable energies, etc. India’s automation and control expertise is also coming up with remarkable solutions for the agriculture and power supply efficiency.

In short, India is an emerging world ecosystem, with developing credentials that stay shoulder to shoulder with the most developed. With the maturing of the design skills, seasoned professionals of impeccable pedigree raring to go with utmost enthusiasm, the possibilities are literally limitless. This is reflected by very many companies starting designing in all emerging markets – mobile devices, healthcare, automation, and automotive, among the few. India is among the very few ecosystems in the entire world that can provide the entire solution in many domains – conceptualize, design, deliver, and support.

For all those who have interacted with India some years back, a current day engagement will be a stimulating, immensely rewarding, eye opening experience. Compared to almost any nation, India has mastered the art of maximizing its advantages and minimizing its limitations.


Author Information
S. Uma Mahesh is the co-founder and CEO of Indrion Technologies.