Dixon Technologies and Nokia will now be manufacturing fixed broadband devices in India, in an effort to capitalise on India's data consumption surge and rising demand for 4G and 5G services.
The collaboration will produce up to one crore devices every year, tapping the growing demand for broadband connectivity, Dixon Technologies said, in a release to stock exchanges on November 8.
Dixon Tech is pitching this tie up as a step in the expansion of India’s electronics ecosystem. "This collaboration empowers us to bring best-in-class devices to the market while boosting job creation and economic growth at the local level,” Atul Lall, Vice Chairman and Managing Director of Dixon Technologies said.
Read More: Dixon Tech sees close to Rs 40,000 crore in annual revenue this fiscal
Dixon Electro - the subsidiary - has set up a dedicated facility with capacity of up to 1 crore devices annually, and will be creating approximately 3,000 new jobs, the company said.
“India’s broadband landscape is evolving at an extraordinary pace,” Sandy Motley, VP, Fixed networks, Nokia said. The collaboration will produce GPON, 5G Fixed Wireless Access, and Mesh Wi-Fi devices capable of speeds of up to one gigabit per second per home. GPON, or Gigabit Passive Optical Network, is a fiber-optic technology to provide broadband internet to homes and businesses.
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"Nokia sees huge opportunity with 4G and 5G in high growth and high data consumption market like India," Tarun Chhabra, Nokia India Country Head said.
Nokia’s Chennai R&D Center will spearhead the design and development of the devices, and Dixon Electro will handle the manufacturing aspect.
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