Posts tagged ‘technology’

27/01/2013

* India wary of China’s telecom forays in Nepal, Maldives

Times of India: “The growing presence of Chinese telecom companies in Maldives and Nepal has put security agencies on alert over fears that equipment used for infrastructure development there might be bugged and misused for intercepting any communication between India and the two countries.

Huawei

The concerns by the central security agencies which have been conveyed to the telecom department here came against the backdrop of about $5.70 crore loan given by China to Maldives to implement its information technology (IT) infrastructure project, according to official sources.

The Huawei Technologies (Lanka) Co. Ltd, China enterprise business group and the National Centre for Information Technologies, Maldives have already signed an MoU to develop the IT Infrastructure in Maldives under the ‘Smart Maldives Project’, they said.”

via India wary of China’s telecom forays in Nepal, Maldives – The Times of India.

25/01/2013

* Chinese engineers to repair Haryana power plant

Times of India: “Chinese engineers will repair the second unit of 300MW capacity of YamunaNagar power plant, which is non-functional since last year.

Map of India showing location of Haryana

Map of India showing location of Haryana (Photo credit: Wikipedia)

Haryana power minister Ajay Yadav said the plant, which is based on Chinese technology, is expected to be functional by February-end after it is repaired.

Yadav said 15 engineers from China will come to Haryana by month-end to resolve the problem cropped up at Yamuna Nagar power plant.

Engineers will remain here till power plant start running properly, he added.

The power plants at Yamuna Nagar and Khader (Hisar) were fitted with Chinese machinery.

Ajay Singh Yadav said Yamunanagar thermal power plant started functioning in 2008-09 but last year the plant stopped generating power because of fault in Chinese rotor which could not be repaired in India.”

via Chinese engineers to repair Haryana power plant – The Times of India.

25/01/2013

* China’s Huawei Creeps up on Apple, Samsung

WSJ: “As Samsung Electronics Co. and Apple Inc.  try to defend their dominance in the smartphone market, the latest data show China’s Huawei Technologies Co. coming third in terms of market share for the first time, indicating that a rapid increase of smartphone users in China and other emerging markets may be starting to alter the global landscape.

According to research firm IDC, Samsung’s smartphone market share in the fourth quarter through December rose to 29% from 22.5% a year earlier, while Apple’s share dropped slightly to 21.8% from 23%. Meanwhile, Huawei’s share rose to 4.9% from 3.5%, ahead of Japan’s Sony Corp. , whose share also increased to 4.5% from 3.9% a year earlier. Another Chinese company ZTE Corp., came fifth with 4.3%.

“The fact that Huawei and ZTE now find themselves among the Top 5 smartphone vendors marks a significant shift for the global market,” said IDC research manager Ramon Llamas.

via China’s Huawei Creeps up on Apple, Samsung – China Real Time Report – WSJ.

08/01/2013

* India Proposes Curbs on Tech Imports

WSJ: “India has proposed sweeping curbs on the import of technology products ranging from laptops to Wi-Fi devices to computer-network equipment.

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The proposed regulations, which were reviewed by The Wall Street Journal, would create an expansive “Buy India” mandate requiring a large percentage of the high-tech goods sold in the country to be manufactured locally.

If implemented, the rules could wreak havoc on the business plans of a wide range of U.S. and other foreign firms, including hardware-makers Cisco Systems Inc. CSCO -0.40% and Dell DELL -2.22% Inc.; services companies such as International Business Machines IBM -0.64% Corp.; and telecom-gear suppliers such as Nokia Siemens Networks B.V. and Telefon AB L.M. Ericsson ERIC-B.SK -3.89% .

To comply with the rules, foreign companies would have to set up factories in India quickly—possibly as soon as April—or significantly expand their existing manufacturing capacity in a country where the infrastructure is poor and building plants can take years because of red tape and other hassles.

Or they could face the loss of current business—collectively the industries affected generate billions of dollars in sales here annually—and the chance to tap into what is expected to be a booming technology market in years to come. Spending in India’s technology and electronics market is expected to reach about $400 billion by 2020, up from $45 billion in 2009.

Proposed regulations would require most high-tech goods sold in India to be made there. A Dell factory in India.

The rules are in draft form, and their sweep may reflect some brinkmanship on the part of the Indian government, which wants foreign firms to increase manufacturing in India. The government could still choose to delay or scale back its plan.

Still, U.S. lobbyists and industry are strenuously opposing the proposals, which have quickly become the most serious point of tension in commercial relations between the two countries. The proposals also aren’t the U.S. government’s only concern. It is also trying to head off Indian anti-tax-avoidance rules that would expose foreign investors to huge potential liability if they take effect in April as planned.

“India is the largest free-market democracy in the world. To mandate local manufacturing is antithetical to the very concept of a free marketplace,” said Ron Somers, president of the U.S.-India Business Council, a lobby group for U.S. firms in India.”

via India Proposes Curbs on Tech Imports – WSJ.com.

06/01/2013

* Flextronics CEO Sees Hope for U.S. Tech Production

Yet another article on manufacturing moving back to Western countries. This is particularly where the cost of labour is a small fraction of the total cost of production – eg in high-tech products. 

WSJ: “The CEO of Flextronics International Ltd.,  a Singapore-based company that helped hundreds of firms move manufacturing of electronic parts and products to Asia, says it is getting “easier to justify” production in the U.S.

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The difference in labor costs is narrowing and local officials in America have been giving more financial incentives to companies setting up plants in the U.S., Mike McNamara, chief executive of Flextronics, said in an interview Friday. Mr. McNamara said he could even imagine some smartphones being made in the U.S. eventually. But he cautioned that the return of manufacturing to the U.S. is likely to be a “slow and evolving process” rather than a flood. Many obstacles remain, including relatively high U.S. taxes, health-care expenses and regulatory costs, he said.

“In Asia, if I want to get something done, we just go and get it done,” he said. An Asian plant with 5,000 employees could be set up in 90 days, he said, but it takes much longer in the U.S., partly for regulatory reasons. Flextronics has plants in 30 countries, including the U.S.

Apple Inc.  raised hopes for a revival of U.S. manufacturing a month ago by announcing plans to build some Mac computers in the U.S. for the first time in about a decade. Flextronics says Apple is one of its customers, but Mr. McNamara declined to comment on whether his company could be involved in the Mac initiative. Apple declined to comment on exactly where and how those computers will be made.

In the first decade of this century, Mr. McNamara said, manufacturers flocked to low-wage countries. Over the next decade, he said, more are likely to adopt regional manufacturing strategies, making goods closer to where they are sold. That can reduce transport and inventory costs; it also allows companies to respond faster to changes in demand and more effectively protect technological secrets.

Asian plants typically have more flexibility to set up new production lines quickly, which is important for products with short life cycles like smartphones. Still, as products become more customized and companies try harder to keep rivals from copying technology, Mr. McNamara said, some phone makers who want to make products to order for local customers eventually may produce certain types of smartphones in the U.S.

Flextronics, founded in 1969 in Silicon Valley and incorporated in Singapore in 1990, provides design, logistics and manufacturing services for several hundred companies. Mr. McNamara said Flextronics is the world’s second-largest company in that business, after Hon Hai Precision Industry Co.,  known as Foxconn and based in Taiwan.”

via Flextronics CEO Sees Hope for U.S. Tech Production – WSJ.com.

See also: 

06/01/2013

* Raspberry Pi production moves to Wales from China

Yet another example of manufacturing of high-tech (hence low proportion of labour cost) back to the West.

BBC: “Production of the popular Raspberry Pi computer is switching from China to south Wales.

Raspberry Pi with SD memory card attached

The £16 credit card-sized computer, which aims to get young people interested in programming, was launched earlier this year to critical acclaim.

The success of the venture has now seen Sony step in to offer its Pencoed plant near Bridgend to make the mini-computer.

The deal will see 300,000 boards built, creating an extra 30 jobs at the site.

Sony will make the new computers for the company Premier Farnell, which distributes the Raspberry Pi on behalf of the device inventors, the Raspberry Pi Foundation.

It’s been coming off the lines at Pencoed for a few weeks, so people now actually have them in their hands”

Eben Upton, the charity’s executive director said: “It’s a fantastic day for us. This has been in the pipeline for about six months after we visited the Sony site.

“It is so good to see that we can still do this sort of thing in the UK – do it in Wales.”

via BBC News – Raspberry Pi production moves to Wales from China.

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30/12/2012

* Chengdu aims to be world’s next Silicon Valley

SCMP: “Entrepreneurs in China’s southwest are dreaming of turning the city of Chengdu into the world’s next Silicon Valley as the government encourages more investment outside the booming coastal regions.

applechengdu.jpg

Small start-ups as well as big-name western companies have flocked to the metropolis of 14 million people, attracted by cheap labour costs and favourable government investment policies and hoping to tap into China’s rapidly expanding consumer market.

And the Silicon Valley dream is becoming reality as the city, already a hi-tech manufacturing hub, seeks increasingly to become a magnet for software development and innovation.

Between one-third to one-half of the iPads sold worldwide are assembled in Chengdu, while computer giant Intel makes up to half of its chips in the city.

Far from the booming coastal regions, Chengdu can offer perks through the government’s “Go West” development programme, with incentives for start-ups such as one-year interest-free loans.

So far it has attracted about 29,000 companies to its 130-square-kilometre “hi-tech development zone”, including about 1,000 foreign enterprises.

Chengdu is also developing a nearby “Software Park” as the city aims to go beyond manufacturing and become a centre of innovation.”

via Chengdu aims to be world’s next Silicon Valley | South China Morning Post.

30/12/2012

* Signs of Changes Taking Hold in Electronics Factories in China

Labour reforms, urged by major western firms whose products are outsourced to China are beginning to be felt.  However, one aspect, that of reduced overtime, is not welcome by many workers who would rather earn more even at the cost of leisure and health.

NY Times: “One day last summer, Pu Xiaolan was halfway through a shift inspecting iPad cases when she received a beige wooden chair with white stripes and a high, sturdy back.

At first, Ms. Pu wondered if someone had made a mistake. But when her bosses walked by, they just nodded curtly. So Ms. Pu gently sat down and leaned back. Her body relaxed.

The rumors were true.

When Ms. Pu was hired at this Foxconn plant a year earlier, she received a short, green plastic stool that left her unsupported back so sore that she could barely sleep at night. Eventually, she was promoted to a wooden chair, but the backrest was much too small to lean against. The managers of this 164,000-employee factory, she surmised, believed that comfort encouraged sloth.

But in March, unbeknown to Ms. Pu, a critical meeting had occurred between Foxconn’s top executives and a high-ranking Apple official. The companies had committed themselves to a series of wide-ranging reforms. Foxconn, China’s largest private employer, pledged to sharply curtail workers’ hours and significantly increase wages — reforms that, if fully carried out next year as planned, could create a ripple effect that benefits tens of millions of workers across the electronics industry, employment experts say.

Other reforms were more personal. Protective foam sprouted on low stairwell ceilings inside factories. Automatic shut-off devices appeared on whirring machines. Ms. Pu got her chair. This autumn, she even heard that some workers had received cushioned seats.

The changes also extend to California, where Apple is based. Apple, the electronics industry’s behemoth, in the last year has tripled its corporate social responsibility staff, has re-evaluated how it works with manufacturers, has asked competitors to help curb excessive overtime in China and has reached out to advocacy groups it once rebuffed.

Executives at companies like Hewlett-Packard and Intel say those shifts have convinced many electronics companies that they must also overhaul how they interact with foreign plants and workers — often at a cost to their bottom lines, though, analysts say, probably not so much as to affect consumer prices. As Apple and Foxconn became fodder for “Saturday Night Live” and questions during presidential debates, device designers and manufacturers concluded the industry’s reputation was at risk.

“The days of easy globalization are done,” said an Apple executive who, like many people interviewed for this article, requested anonymity because of confidentiality agreements. “We know that we have to get into the muck now.”

Even with these reforms, chronic problems remain. Many laborers still work illegal overtime and some employees’ safety remains at risk, according to interviews and reports published by advocacy organizations.

But the shifts under way in China may prove as transformative to global manufacturing as the iPhone was to consumer technology, say officials at over a dozen electronics companies, worker advocates and even longtime factory critics.

“This is on the front burner for everyone now,” said Gary Niekerk, a director of corporate social responsibility at Intel, which manufactures semiconductors in China. No one inside Intel “wants to end up in a factory that treats people badly, that ends up on the front page.”

The durability of many transformations, however, depends on where Apple, Foxconn and overseas workers go from here. Interviews with more than 70 Foxconn employees in multiple cities indicate a shift among the people on iPad and iPhone assembly lines. The once-anonymous millions assembling the world’s devices are drawing lessons from the changes occurring around them.

As summer turned to autumn and then winter, Ms. Pu began to sign up for Foxconn’s newly offered courses in knitting and sketching. At 25 and unmarried, she already felt old. But she decided that she should view her high-backed chair as a sign. China’s migrant workers are, in a sense, the nation’s boldest risk-takers, transforming entire industries by leaving their villages for far-off factories to power a manufacturing engine that spans the globe.

Ms. Pu had always felt brave, and as this year progressed and conditions inside her factory improved, she became convinced that a better life was within reach. Her parents had told her that she was free to choose any husband, as long as he was from Sichuan. Then she found someone who seemed ideal, except that he came from another province.

Reclining in her new seat, she decided to ignore her family’s demands, she said. The couple are seeing each other.

“There was a change this year,” she said. “I’m realizing my value.””

via Signs of Changes Taking Hold in Electronics Factories in China – NYTimes.com.

20/12/2012

* TCS to create 16,500 jobs in West Bengal

Indian IT firm expands in Indian state.

Times of India: “Tata Consultancy Services said its Rs 1,350 crore software development campus in West Bengal will be functional by the end of 2014-15 and will employ 16,500 IT and BPO professionals.

TCS to create 16,500 jobs in West Bengal

“Our growing presence in Kolkata continues to be of strategic importance for our overall business growth.

“We remain committed to working in close collaboration with all stakeholders in the state to help development of local talent and provide our customers with world-class IT solutions from this location,” TCS Chief Financial Officer & Executive Director S Mahalingam said.

The first phase of construction will be completed in the first quarter of 2014, while the second phase by the fourth quarter of the year.

“In the first phase 7,000 seats will be ready with the remaining 9,500 seats being completed in second phase,” Tata Consultancy Services (TCS) said in a statement.

Once completed, the campus that is being constructed with an investment of about Rs 1,350 crore will house over 16,500 seats, it added.”

via TCS to create 16,500 jobs in West Bengal – The Times of India.

30/11/2012

* China-backed payment processor to accelerate global expansion

Visa and Mastercard beware!

Reuters: “China’s state-backed electronic payment services giant, China UnionPay, launched an international arm tasked with speeding its expansion overseas, heating up competition with rivals such as Visa Inc (V.N) and Mastercard Inc (MA.N).

The logo of the China UnionPay is seen at a bank in Taiyuan, Shanxi province July 20, 2012. REUTERS/Stringer (CHINA - Tags: BUSINESS)

The move underscores UnionPay’s growing global ambitions, and follows a World Trade Organisation (WTO) ruling that China discriminates against foreign card companies by favoring UnionPay in the home market.

UnionPay, China’s dominant payment card supplier, is looking to expand the number of shops and outlets overseas that will accept its cards and also grow the number of partner banks issuing UnionPay-branded cards. The move would increase its business, assist inbound and outbound travelers and is also aimed at promoting the use of the yuan as a global currency.

“UnionPay’s internationalism provides convenience to Chinese residents and companies going overseas. Also it provides a new payment option for overseas residents and companies,” Liu Shiyu, deputy governor of the People’s Bank of China, said at the opening ceremony of UnionPay’s unit.”

via China-backed payment processor to accelerate global expansion | Reuters.

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