Apple in discussions with Murugappa and Titan to source parts for iPhone cameras

Teslas made in India will have vehicle control elements made by Tata Electronics

Tata Electronics will make parts such as printed circuit board assemblies that will go into iconic electric car Tesla’s battery management systems, motor controller units and door controls, the Mint reported. The Tata company will be building a new factory for the purpose and has already started buying manufacturing equipment. The deal with Tata will help Tesla achieve local value addition, allowing it to take advantage of a policy that lowers import duty for electric vehicle makers ready to invest and manufacture in India.

Why it’s important: The deal with Tata is an exception for Tesla, which typically relies on global partners for vehicle electronics. It underscores the eagerness of the American automaker to enter into India, which is expected to be one of the biggest markets for electric vehicles.

Apple in discussions with Murugappa and Titan to source parts for iPhone cameras
Apple is in advanced talks with the Murugappa Group and Tata Group’s Titan Company to assemble and manufacture components for iPhone camera modules, the Economic Times reported. Apple currently does not have local suppliers for the camera module embedded in iPhones, several models of which are now assembled in India.

Why it’s important: Apple is said to be shifting at least half of its supply chain to India, and away from China. It wants to increase local value addition by almost 50 percent over the next three years.

Mahindra Group to invest Rs 1,200 crore to develop renewables project in Maharashtra
The Mahindra Group will develop a 150 MW hybrid solar plus wind project at a project cost of about Rs 1,200 crore, the Hindu Businessline reported. The project will be developed by Mahindra Susten, with marquee global investor Ontario Teachers’ Pension Plan Board as a strategic partner. The project will be commissioned within the next two years and will integrate more than 80 percent locally made parts.

Why it’s important: Hybrid renewable energy projects that include both solar and wind have emerged as the flavor of the season. Investments into India’s green energy transition has picked up pace. No big business house in India now wants to be left out in carving up a piece of the expanding pie.

India’s unicorn numbers to rise by a third in 2024-25 with 20 start-ups closing in
The number of unicorns in the Indian start-up ecosystem is likely to rise by around a fifth in the year to March, with some 20 companies closing in on the magic number, the Hindu Businessline reported. The probable unicorns include online ticketing platform Bookmyshow, fintechs Navi, Paymate, Refyne, Clear, Ind Money and Jupiter, agritech firm Ninjacart and e-commerce platform Biz on Go. All these are currently valued around $600-930 million. The two that are closest to the finish line are fintechs Turtlemint and Paymate, with valuations of over $900 million.

Why it’s important: The just-concluded financial year saw the addition of just two unicorns in India as a punishing funding winter shriveled fundraising. Things are set for a change as the fintech heavy unicorn landscape becomes more exciting on India’s continued push for financial digitisation.

Government working on safety net to widen funding pool for Indian start-ups
The central government is readying a framework to help minimise the risk for local pension funds and insurers from investing in start-ups where business failures are common, the Economic Times reported. Domestic pension funds and insurers are not allowed to directly back start-ups but can invest 3-5 percent of their investable surplus into alternative investment funds or fund of funds that support local startups.

Why it’s important: A safety net could allow for easing rules to raise the investible limit and permit direct investment by these institutions with deep pockets.

Cognizant chief highest paid among infotech honchos in India at Rs 186 crore a year
Cognizant Technology Solutions’ CEO Ravi Kumar Singisetti got $22.56 million (Rs 186 crore) in compensation last year due to a one-time stock reward, making him the highest-paid Indian boss at a technology services company, the Mint reported. Kumar’s compensation was 556 times the median salary of Cognizant employees.

Why it’s important: The eye watering compensation brings the issue of exorbitant CEO pays to the fore at a time most software services companies are struggling to bag lucrative contracts in key Western markets.

Mileage conscious Indian car owners will get European standards of fuel economy
The central government is planning to introduce the next stage of norms for fuel economy, or efficiency of automobiles, which will match up to European standards, the Mint reported. The third phase of corporate average fuel economy, or CAFE-III norms, is being prepared by the roads ministry and Bureau of Energy Efficiency. The new norms may take effect in 2027.

Why it’s important: Raising fuel economy benchmarks will be yet another step by India to meet its ambitious climate targets and lower carbon emissions. Vehicle owners are sure to welcome the move.

Hotel Leela Venture contests ITC’s claims of shareholder suppression in five-year-old legal tussle
Hotel Leela Venture has challenged ITC’s claims of shareholder oppression against it in a fresh twist to a five-year-old legal tussle, the Economic Times reported. The conflict started after the 2019 sale of key Leela properties to Canada’s investment giant Brookfield for Rs 4,250 crore.

Why it’s important: ITC, which owns a stake in Hotel Leela Venture, is opposed to the sale transaction, alleging that it was detrimental to minority shareholders.

Private equity investment in realty sector drops 16 percent to $3.67 billion in 2023-24
Private equity funding in India’s real estate sector fell 16 percent in the year ended March 31 to $3.67 billion on subdued interest from foreign investors, the Business Standard reported, citing a report be Anarock, a real estate consultant. Private equity deals in Indian realty in the preceding financial year was $4.4 billion.

Why it’s important: Investments in real estate traditionally decline when there is a stock market rally and that seem to be the primary reason for the latest numbers as well. Global macroeconomic factors and geopolitical instability also playes a role.

Start-up start talent hunt at India’s premier business schools with lucrative pay packages
Navi, a fintech firm set up by Flipkart founder Sachin Bansal, robotics enterprise Addverb, jewelry business BlueStone and recruitment company Erekrut are among startups that have started hiring fresh graduates form business schools as the curtain starts dropping on the 2024 placement season, the Mint reported.

Why it’s important: Placements in the current season has been muted and the interest shown by promising start-ups would be welcomed at management campuses. Moneycontrol