LG Electronics is making a major move in India by substantially increasing the size of its research and development activities there. This is a clear signal that the company is strategically shifting towards high-value innovations focused on areas like semiconductors, artificial intelligence (AI), and robotics.
After the listing of LG Electronics India Ltd. on the National Stock Exchange, William Cho, CEO of LG Electronics said that India has changed from being a cost hub to a "best capability country" by using excellent engineering talent and good manufacturing conditions to have a global competitive advantage.
India’s software knowledge has become a very important factor in LG’s chip design, AI modeling, and robotics roadmap and the company is planning to double the R&D workforce in the country. LG India is run like a fully independent unit, combining research, design, manufacturing, sales, and services, thus being a role model for the company’s Global South strategy.
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LG’s Bengaluru-based research and development center, LG Soft India, is working on cutting-edge AI and system-on-chip technologies that are a direct input to the company’s worldwide innovation pipeline. Along with these moves, LG is putting in Rs 5,000 crore (USD 600 million) for a brand-new manufacturing plant in Sri City, Andhra Pradesh, which is three times as large as the combined operations of Noida and Pune.
By 2029, when it is expected that the plant will be running, the plant will be able to support rising global and domestic demand as well as expand LG’s premium product portfolio.
The company's expansion plan is in line with LG's 2025 strategy, through which it mainly plans to invest almost 75% of its global R&D budget in future technologies. Indian engineers and researchers are at the center of this groundbreaking work as India positions itself as a global hub of technological leadership, manufacturing excellence, and AI-driven solutions.
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