Lenovo has rolled out its first generation of desktop computers with made-in-India motherboards that are compliant with the PMA (Preferential Market Access) policy of the Government of India.
Lenovo India, which qualifies for the Class 1 PMA bracket, with about 50% of components being fulfilled through local manufacturing for select range of products, believes it is now better positioned to further the expansion of its manufacturing footprint in India in alignment with the Make In India policy of the Government of India, company representatives said.
Terming the development a milestone, Saurabh Agrawal, Chief Operating Officer, Lenovo India, told a select group of journalists invited to the manufacturing facility in Puducherry on Friday, that there is additional impetus to increase PC production capability and contribute to India’s Make in India self-reliance mission with Lenovo joining the group of 27 IT hardware manufacturers under the PLI2.0 Production Linked Incentive) for IT Hardware Scheme.
The announcement comes close on the heels of the unveiling of Lenovo’s Shared Support Center in Bengaluru in August this year with a planned investment to advance local R&D and job creation in India.
Lenovo, which has globally adopted a hybrid manufacturing model that includes a mix of both in-house and contract manufacturing, manufactures tablet computers, in partnership with Wingtech Technology, at a plant in Tirupati, Andhra Pradesh, and smartphones for Motorola (a Lenovo group company) in partnership with Dixon Technologies at Noida, Uttar Pradesh.
The global technology company, which has been operating a cutting-edge manufacturing plant in Puducherry since 1999 and later acquired the IBM PC division in 2005, has opened a third assembly line that virtually doubled its annual production capacity of at least 27 variants of personal computing devices to an estimated 1.2 million units.
While the plant is equipped to roll out a fully calibrated, comprehensively tested and finished personal computing device every 24 seconds, the current output hovers around half the tooled capacity for the entire consumer and commercial range, including desktops, notebooks, and workstations.
While new shipment tracking data from the International Data Corporation (IDC) indicated a decline in the Indian PC market, inclusive of desktops, notebooks, and workstations, Mr. Agarwal was optimistic of a market turnaround. “We are seeing early signs of a recovery”.
In terms of its India footprint, Lenovo is 2 billion USD enterprise, ranked second in PCs and third in servers. The company’s strategy of global sourcing and local delivery has been its strength. “We are leveraging this strength across locations, geographies and markets”, he said.
The focus on innovation and environmental sustainability will remain a cornerstone, whether it is in adopting new technologies or designing a better user experience, said Ashish Sikka, Head of Category/4P, Lenovo India. “As we go forward, we will be exploring how Artificial Intelligence can be used to improve the lives of users, customers, partners and suppliers”, he said.
Ashish Madhaorao More, Commissioner cum Secretary to Government and PT Rudra Goud, Director of Industries participated in the launch function at the Puducherry manufacturing facility.
