India expects competitive homegrown mobile phone brand by mid-2027
India expects to have a competitive homegrown mobile phone brand by the middle of next year, with three Indian players currently vying for the position.
This move comes alongside the new ₹62,500 crore Mobile Phone Manufacturing Scheme (MPMS), designed to boost local production and cut down on dependence on foreign brands.
Right now, Chinese companies hold 55% of the market.
MPMS details ₹62,500cr incentives and eligibility
The MPMS will run from FY 2026-27 to FY 2030-31 and offers Indian brands a 5% incentive on eligible sales.
There's an additional 3% for Indian design and R&D, plus an additional incentive of up to 1.5% for domestic sourcing of key components and sub-assemblies, subject to a 25% localisation requirement.
To qualify, companies need more than 51% Indian citizen shareholding, management control with Indian citizens, and must be incorporated in India, hold IP and trademarks in India, and maintain in-house R&D and design capabilities in India.
Lava is the most prominent Indian smartphone brand, while Micromax and Jio have much smaller or more limited smartphone businesses, and applications are to remain open on a continuous basis.