The second phase of India's Production Linked Incentive scheme has been redesigned to be leaner and more targeted than its predecessor, according to Ministry of Electronics and Information Technology Secretary S Krishnan.
In an exclusive interview to NDTV Profit, Krishnan also added that the revamped scheme is "intended to preserve competitiveness" as India's electronics and semiconductor manufacturing base matures.
What's Changed In PLI 2.0
The secretary said PLI 2.0 has been "structured differently" from the first iteration, with lessons from the original India Semiconductor Mission built into the new framework.
This includes an ecosystem-based approach and more investable resources being channelled specifically to chip design companies, a segment the secretary said needed more support, warning that without it, "chip design companies could be absorbed by global companies."
On the earlier phase's track record, Krishnan said: "Semicon 1.0 lends a lot of credibility for India" and had "proved large-scale manufacturing can take place" in the country.
Reviving Indian Phone Brands
A key goal of the redesigned scheme is to lift homegrown smartphone makers, who have lost ground even as manufacturing volumes have grown.
The secretary noted that many leading phones sold today already carry a "Made in India" label, which has helped lift India's standing globally, but acknowledged that "Indian smartphone brands had a role in the last six-seven years" even as "their market share has been declining" because they "haven't kept up to date with the latest tech."
The government will now try to ensure Indian brands "come up this time," the secretary said, arguing there's no reason India can't replicate the success China saw after Apple built out its manufacturing ecosystem there.
On The Usernames Row
Asked about the ongoing dispute over username feature of WhatsApp and Telegram, Krishnan said different companies have offered their own reasoning, and the ministry will study these before seeking further clarifications from platforms.
Zero Tolerance For Child Sexual Abuse Material
Responding to an NDTV investigation, the Secretary said the government has "zero tolerance" for child sexual abuse material on platforms, and that no safe harbour protection will apply where such material is found.
Citing Section 67B of the IT Act, which prohibits carrying such content, the Secretary said platforms are expected to act swiftly, and that both the platform and the source of the content "will be held equally liable" if they fail to do so.
Should India Have A Separate AI Law?
On artificial intelligence, Krishnan pointed to a global shift, noting that even the US — long the most vocal opponent of AI regulation — is now restricting access to certain models.
India, Krishnan said, is now weighing safeguards platforms should follow, while maintaining that "regulation shouldn't stifle innovation."
ALSO READ: Cabinet Clears Mobile Manufacturing Scheme, Semiconductor Mission 2.0 & Urea Investment Policy
Officials are exchanging notes with global forums and the European Union as they work on rules that can keep pace with fast-moving technology, a process the Secretary called a "fine line" that will take time to get right.
Studying Other Countries Before Any Social Media Ban
On calls for restrictions on social media, he said the ministry is studying approaches taken by other countries, noting that risks around social media have also been raised domestically, including by parliamentary standing committees, with consultations with stakeholders ongoing.
Stress-Testing Government Systems
The Secretary also said CERT-In has built a sandbox using nine to ten open-source models and one to two Indian models to test close to 500 government applications and IT systems for vulnerabilities, an effort that has been running for about a month with work still ongoing.
WATCH
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.