India Could Get 3 New Smartphone Brands in 10–14 Months Under New MPMS Scheme

Three Indian smartphones might soon hit the market. Here's how India's new smartphone program worth INR 62,500 crore is going to make the Indian smartphone industry flourish.

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The smartphone market in India may soon witness the revival of many local brands in the coming year, as the government is now collaborating with three possible Indian smartphone makers who can offer smartphones in the market in 10-14 months. This news was announced by the Union minister for Electronics and IT, Ashwini Vaishnaw, while introducing the new Mobile Phone Manufacturing Scheme (MPMS) which is worth ₹62,500 crore.

This particular announcement holds significance in the sense that the government is not just focusing on the revival of Indian smartphone brands who have been assembling their smartphones locally. Rather, the focus will be on Indian companies who can develop their smartphones.

Three New Indian Smartphone Players

Regarding the new scheme, Ashwini Vaishnaw stated that at present, the government feels that there are three such players who can become an Indian brand of smartphones in the next 10 to 14 months. But, the minister did not disclose the names of the players, stating sensitivity issues of the market.

The government has requested these three players to create some designs for the smartphones. Vaishnaw stated that the products should really be designed by them and not merely be a rebranding of existing smartphones.

It has been the requirement of the government that the Indian companies should produce smartphones that could compete with their top rivals in the segment. Simply branding their existing smartphone designs with an Indian brand name would be insufficient.

Original Design and Intellectual Property Are Key

One of the most significant differences between the new initiative taken by the government and previous initiatives to boost the Indian smartphones brand has been the focus on intellectual property rights.

To benefit from MPMS under the Indian brand category, a company needs to prove that it owns the intellectual property rights associated with its smartphone range. This is because the government has explicitly stated that it does not want any copycat product to be covered under this scheme.

In this way, the initiative has the potential to take Indian smartphone companies beyond assembly stage to product development, design, engineering, and technology rights. Over time, it can help India add value in the smartphone sector rather than being an assembly shop for smartphones.

However, at the moment, there are no big brands which develop their full range of smartphones in India. The brands like Lava and Ai+ have made a point about being able to design their smartphones locally, but the government’s latest effort is meant to foster an entire ecosystem of Indian brands and IP.

What Is the ₹62,500-Crore MPMS Scheme?

The Mobile Phone Manufacturing Scheme or MPMS received approval from the Union Cabinet in July 2026 and the total budgetary allocation for the scheme stands at ₹62,500 crore. The scheme has been formulated with an aim of improving the mobile phone manufacturing sector in India and increasing domestic value addition.

The scheme is a five-year long program running from FY2026-27 to FY2030-31. MPMS has finally come into being after the expiry of the mobile production linked incentive scheme in March 2026 and the government now seems to be focusing more on domestic manufacturing.

MPMS scheme has been categorized into two different target segments. One is for large-scale mobile phones manufacturing, whereas the other one is for Indian mobile phone brands.

MPMS Will Have a Separate Push for Indian Brands

The Indian Brand segment is especially relevant to the smartphones industry. Companies falling under this segment must be at least 51 percent owned by Indians and fulfill the turnover requirements set out for FY2026. The government will examine if the smartphone design and intellectual property of the company is actually theirs.

Different from the manufacturing segment, the Indian Brand segment provides an incentive of 5 percent of the eligible sales of mobile phones that are made in India. There are other incentives that are associated with sourcing of components and sub-assemblies domestically.

This may motivate companies to slowly stop importing finished or partially finished products and start adding value in India.

The Government Wants More Than Just "Made in India"

India has already emerged as one of the key locations for the manufacture of smartphones with global corporations and EMSs manufacturing smartphones within the country. The next target for the government seems to be boosting India's participation in the value chain.

It implies that instead of simply questioning where the smartphone is made, it should be determined by who designed it, who owns the IP, and what part of value was added to the device in the country.

The government is hopeful that the MPMS will allow increasing the cumulative mobile phone manufacturing to nearly ₹39 lakh crore over the five years and increasing the value added in India to nearly ₹15 lakh crore, as compared to the earlier scheme, where it was ₹7.5 lakh crore.

Could We See the Return of Micromax and Other Indian Brands?

Undoubtedly, the recent news evokes memories of the early phase of the Indian smartphones market when names like Micromax, Karbonn, Lava and Intex were dominating the market.

Nevertheless, it would be premature to conclude that some of these old brands may become one of the players mentioned in the context of the current discussion by the government. Vaishnaw did not reveal the name of the companies and there is no information that brands like Micromax would return under the MPMS program.

The upcoming Indian smartphone brands may come from companies which are not considered as leaders in the area of smartphones at the moment. The focus of the government on design and IP suggests that it looks for technology business-oriented firms rather than just brands revival.

Indian Smartphone Brands Will Face a Tough Market

Having three new brands of Indian smartphones launched does not necessarily mean success. The Indian smartphone market is already fiercely competitive, with companies like Samsung, Apple, Xiaomi, Vivo, Oppo, Realme, Motorola, and others competing with each other in different price brackets.

Consumers today demand a good camera, powerful processor, good software update cycle, excellent design, fast charging capability, and competitive price range. This means that a lot of money has to be invested in R&D, supply chain, software, and after-sales services.

This is why the 10-14 month period announced by the government can be considered the time frame within which the players may appear on the scene.

What This Means for Indian Smartphone Buyers

In case the effort succeeds, there might be a time when Indian consumers get a range of options from indigenous smartphone makers. Increased competition might force the already existing producers to offer better pricing, designs and innovations as well.

More importantly, if the efforts succeed, there will be a time when the products of Indian firms are not just made for the Indian market but are sold overseas too. The ultimate goal of the Indian Government is to make India a global design and development hub of electronics.

For now, the most burning issue is who the three firms are. The Indian government has made it clear that they are working with three firms but haven’t revealed their names yet. If the development is on time, the next 10 to 14 months could therefore be a critical period for the Indian smartphone industry. With years in which foreign brands ruled the roost in the industry, India could witness the emergence of a fresh generation of indigenous smartphone companies trying to make it on their own steam.

Key Takeaways

• India could see three potential new smartphone players within 10–14 months.

• Union Minister Ashwini Vaishnaw has confirmed that the government is working with three companies but has not disclosed their names.

• The new ₹62,500-crore MPMS scheme focuses on manufacturing, domestic value addition and Indian smartphone brands.

• Companies targeting the Indian-brand segment will need at least 51% Indian ownership and must meet the scheme's eligibility requirements.

• Original smartphone designs and company-owned intellectual property are central requirements.

• The initiative could mark a major push toward building Indian-owned smartphone brands rather than just manufacturing phones in India.