Mukesh Ambani’s company, Jio, wants to bring back interest in a declining market and gain more loyal customers for its services using JioBharat phones. The market for basic phones has been shrinking because people prefer smartphones. But JioBharat phones helped the basic phone market grow by 300 percent from July to September 2024. The boss of Reliance Industries owns 63 percent of this market.
One of the companies working with Jio in this change is Dixon Technologies, an electronics manufacturer led by self-made billionaire Sunil Vachani. The company aims to earn between Rs 1600 crore and Rs 1800 crore by making Jio Bharat phones by March 2024. Dixon initially got an order to make 15 million JioBharat phones from the RIL subsidiary, but later, it increased to 20 million phones.
Sunil Vachani started Dixon Technologies in 1993, making television sets with a loan of Rs 20 lakh from his father. He began in a rented shed near Delhi, making 14.1-inch TVs. Today, Dixon Technologies is a listed company with a market cap of over Rs 39,000 crore. According to Forbes’ real-time list, Sunil Vachani is worth over Rs 13,300 crore (£1.3 billion).
Dixon Technologies works with various clients, including Mukesh Ambani’s Jio and major global smartphone companies like Samsung, Xiaomi, and Panasonic. The company’s shares have been growing since it was listed in 2017. Vachani’s firm can manufacture 5 crore smartphones every year and is valued at Rs 170 crore. The 52-year-old Vachani owns one-third of the company.