Dixon and Taiwan's Gemtek to Manufacture Optical Modules in India

Dixon Technologies has signed a binding term sheet with Taiwan’s Gemtek Technology to form a joint venture in India, focused on manufacturing Small Form-Factor Pluggable (SFP) optical transceivers, Bidirectional Optical Subassembly (BOSA) modules, and other telecom gear. Dixon will hold a 60% stake, while Gemtek will own 40%. This marks Dixon’s official entry into India’s fast-growing data centre and optical connectivity ecosystem.

Gemtek Technology Co., Ltd. is a Taiwan‑based communications equipment company, founded in 1988, specializing in broadband, wireless networking, and optical connectivity solutions. It is publicly listed on the Taiwan Stock Exchange (TSEC: 4906) and employs around 5,000 people.

Gemtek is positioning itself as a key player in next‑generation broadband and AI‑ready optical connectivity, with innovations in Wi‑Fi 8, DOCSIS 4.0, and 400G–1.6T optical transceivers. Its partnership with Dixon in India reflects a broader strategy to expand into data centre and telecom infrastructure markets, aligning with global demand for AI‑driven networking.

Dixon Technologies & Gemtek JV in India

Key Details of the JV

• Stake split: Dixon Electroconnect – 60%; Gemtek – 40%
• Products: SFP optical transceivers, BOSA modules, telecom/data centre equipment
• Government support: Dixon Electroconnect is a beneficiary under India’s Electronics Components Manufacturing Scheme (ECMS)
• Strategic focus: Data centres, telecom infrastructure, optical connectivity, cloud computing, edge computing, AI networking
• Market impact: Dixon’s shares rose ~2% to ₹11,616 on June 9, 2026

Why This Matters

Aspect	Details
India’s optical ecosystem	Strengthens domestic manufacturing of optical transceivers and modules, reducing reliance on imports
Data centre boom	Supports India’s growing demand for high-speed networking driven by AI, cloud, and edge computing
Global footprint	Gemtek expands into India, while Dixon diversifies beyond consumer electronics into telecom infrastructure
Policy alignment	Fits into India’s push for electronics self-reliance under ECMS and broader semiconductor/telecom initiatives

Strategic Implications

• For Dixon: Diversification into optical networking gear, positioning itself in India’s telecom and data centre supply chain
• For Gemtek: Strengthens global presence and builds a competitive supply chain in India
• For India: Boosts local manufacturing capacity in advanced optical communication, aligning with national digital infrastructure goals

Risks & Challenges

• Regulatory approvals: JV subject to definitive agreements and government clearances
• Technology transfer: Success depends on effective integration of Gemtek’s optical expertise with Dixon’s manufacturing scale
• Market competition: Global players like Huawei, Cisco, and Finisar already dominate optical networking gear

This JV signals India’s deeper integration into the global optical communication supply chain. With AI-driven data centre demand surging, Dixon-Gemtek could become a pivotal supplier for both domestic and international markets.

Dixon Technologies’ Recent Joint Ventures

Key JVs in 2026

• Gemtek JV (June 2026): Focus on SFP optical transceivers, BOSA modules, and telecom/data centre equipment. Stake split: Dixon Electroconnect 60%, Gemtek 40%.
• Longcheer JV (February 2026): Partnership with Longcheer Intelligence (Singapore) and Dixtel Infocom. Stake split: Dixon 74%, Longcheer 26%. Focus on smartphones, tablets, smartwatches, AI PCs, automotive electronics, and healthcare devices.

Strategic Themes Across JVs

JV Partner	Sector	Focus Areas	Dixon Stake
Gemtek	Telecom & Optical	Optical transceivers, BOSA modules, data centre gear	60%
Longcheer	Smart Devices	Smartphones, tablets, wearables, AI PCs, automotive electronics	74%

Dixon is expanding beyond consumer electronics into telecom infrastructure and AI-enabled devices. Both JVs leverage India’s Electronics Components Manufacturing Scheme (ECMS) and self-reliance initiatives. Partnerships with Gemtek (Taiwan) and Longcheer (Singapore) strengthen Dixon’s footprint in Asia’s tech ecosystem.

Dixon Technologies to Acquire Upto 56% Stake in Ismartu India for Over Rs 238.36 Crore

Noida-based Electronics manufacturing Service provider Dixon Technologies has entered into a share purchase agreement to acquire a significant stake in Ismartu India. Dixon will acquire up to 56% equity in Ismartu in two tranches, it said in an exchange filing.

The acquisition will be carried out in two tranches, with Dixon initially acquiring a 50.10% stake. Ismartu India, known for its brands 'Itel', 'Infinix', and 'Tecno', is a leader in the feature phones segment in India and has three manufacturing facilities in Noida.

The first tranche of the acquisition, amounting to Rs 238.36 crore, is expected to be completed within 90 days from the date of the agreement, subject to certain conditions including approval from the Competition Commission of India (CCI).

Dixon also has the rights to acquire an additional stake of between 1.60% to 5.90% in Ismartu India in the financial year 2026-27.

This strategic move aligns with Dixon Technologies' growth plans in the electronics manufacturing services (EMS) sector and aims to capitalize on the expanding Indian EMS industry.

Dixon Technologies is an Indian electronics manufacturing services company, based in Noida. It is a contract manufacturer of televisions, washing machines, smartphones, LED bulbs, battens, downlighters and CCTV security systems for companies such as Samsung, Xiaomi, Panasonic and Philips.

Acer India and Dixon Technologies Join Hands to Manufacture Laptops Under the “Make in India” Initiative

The state-of-the-art unit will have capacity to manufacture upto 5 lacs Acer laptops annually

Acer India, the leading PC brand, and Dixon Technologies have partnered for the manufacturing of laptops at Dixon’s state-of-the-art manufacturing facility situated in Noida. The manufacturing unit was inaugurated yesterday by Mr Saurabh Gaur, Jt Secretary Ministry of Electronics and Information Technology in the presence of Sunil Vachani, Executive Chairman, Dixon Technologies, Harish Kohli, President & Managing Director Acer India and Sudhir Goel, Chief Business Officer, Acer India. This will give a strong impetus to India's manufacturing competitiveness and leverage the production-linked incentive (PLI) by Government of India. The factory will have capacity to produce upto 500,000 laptops annually.

Acer will bring in the global know-how and processes to manufacture high-tech electronic products in laptops category which will be implemented through Dixon’s facilities. Acer believes that this key initiative will help to grow the electronic manufacturing ecosystem which will help us to serve domestic and global markets from India.

The PLI for IT hardware brought by Government of India is a game-changer that will have the advantage to increase domestic value addition and significantly position India as a key export’s hub. The impetus to PC manufacturing is particularly significant as it can help reduce imports which have become all the more important as their usage increase rapidly amid the Covid-19 restriction.

Harish Kohli, President and Managing Director, Acer India, said, “We are excited about our partnership with Dixon Technologies (India) who is the largest home-grown design-focused and solutions company engaged in manufacturing products for diverse consumer products. With our global manufacturing prowess perfected over 44 years and our strong processes, we are proud to be a catalyst in the manufacturing-led growth story for PCs in India. Acer will manufacture multiple laptops catering to segments from value to mainstream including education segment with Acer global manufacturing practices and guidance. The opening of this facility is a testament to our commitment to Government of India’s flagship ‘Make in India' & ‘Atmanirbhar Bharat' initiative."

Sudhir Goel, Chief Business Officer, Acer India, said, "Acer has been a strong supporter of Make In India initiative by Government Of India. We are already manufacturing Desktops, All-in-One PCs and Tablets in India, with this new initiatives, we have capability to produce our complete PC product range. Acer has always believed in developing local manufacturing ecosystem to deliver world class products and we are excited to have Dixon technologies as our first partner for laptop category. Dixon Technologies was amongst the first few companies to be approved under the PLI scheme. The synergies between Acer and Dixon along with their decades of manufacturing experience gave us confidence to partner with them in India to manufacture this product lines for us which will help us meet increased demand across consumer, business and education segments.”

Sunil Vachani, Executive Chairman, Dixon Technologies, said, "Acer India is the leading PC brand in India and one of the globally leading companies. We are excited to enter this category and manufacture laptops in India. Acer India established a strong and trusted foothold worldwide thanks to its advanced technology. We are sure that with their vision and rigorous industry-leading processes, combined with our expertise in manufacturing, we will be able to bring a range of Acer laptops to the customers."

Atul B. Lall , Vice Chairman & Managing Director, Dixon Technologies, said. "Acer is one of the world's leading ICT companies with a worldwide presence in more than 160 countries. They are known for their affordable yet technologically advanced products. Both Dixon and Acer are firm proponents of Government of India’s Atmanirbhar Bharat vision and we are confident that this partnership will scale up export and employment opportunities in the country."

Acer plans to manufacture laptops under the Value Segment category, mainstream segment, and education segment at the Dixon Factory and this will create new employment opportunities for the youth, up-skilling and help develop ancillary electronic industries in India along with bringing in global manufacturing standards.