Samsung Electro-Mechanics (SEM) aims to broaden its footprint in India as it pursues a strategy to capitalize on the region's status as one of the globe's most rapidly expanding markets for IT equipment, electric vehicles (EVs), and data centers.
SEM plans to display its newest technology at Electronica India 2025, scheduled to occur at the Bangalore International Exhibition Center from Wednesday through Friday (local time).
Launched in 2000, Electronica India stands as one of South Asia's premier international trade exhibitions for electronic components, systems, and applications. This marks SEM's second participation in Electronica India, after the previous year's event, which attracted 46,000 visitors and 566 enterprises from 25 nations.
At the exhibition, SEM will present its product range, featuring multilayer ceramic capacitors (MLCCs), camera modules, and semiconductor substrates, while connecting with important partners to enhance local brand recognition, improve customer relationships, and discover prospective clients in India's expanding sectors like IT and automotive industries.
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While SEM operates a software division in India, it lacks a manufacturing facility there. Nevertheless, the company is increasing its involvement in response to the region's rising significance as both a market and production center for international IT and EV manufacturers.
Research data from IMARC Group and additional firms indicates that India's consumer electronics sector was valued between $83.9 billion and $89.1 billion in 2024, with projections showing annual growth of 6.8 to 9.6 percent until 2034, potentially reaching $162.7 billion, driven by increasing demand for smartphones, televisions, household appliances, and wearable devices.
Increasing geopolitical tensions surrounding Chinese manufacturing operations have led major corporations such as Samsung Electronics and Apple to diversify their production capabilities into India. Samsung has established one of the globe's most extensive smartphone production facilities in Noida and has recently begun laptop manufacturing operations. Meanwhile, Foxconn, Apple's primary manufacturing partner, is similarly strengthening its Indian operations.
This development highlights the urgent necessity for SEM to address both India's expanding market opportunities and the worldwide initiative to develop component supply networks within the nation.
iM Securities analyst Ko Eui-young reports that SEM's FC-BGA products for server and network uses represented over 40 percent of the company's total FC-BGA revenue during Q2 this year, indicating that SEM is strategically positioned to capitalize on India's growing data center development.
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The promising growth of electric vehicles in India also serves as a significant factor driving the company's focus on this market's opportunities.
India ranks as the globe's third-biggest automotive market, experiencing rapid growth in EV adoption. As electric vehicles and their charging networks expand, there is increasing demand for dependable components including high-temperature, high-voltage MLCCs and chip substrates used in automotive electronics.
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As a major MLCC provider to Tesla, SEM views automotive MLCCs as a crucial element for future expansion. Based on current trends, industry experts predict the company will achieve automotive MLCC revenues exceeding 1 trillion won ($730 million) in the current year.