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MeitY plans major changes to IT hardware PLI by 2026 27 as AI servers join incentives
Technology
Published on 15 May 2026
AI servers could be pulled into the PLI net soon
India’s Ministry of Electronics and Information Technology (MeitY) is preparing to revisit the Rs 17,000 crore IT hardware production-linked incentive (PLI) scheme later in FY27, after initial disbursements and rising component manufacturing. Officials say AI servers and other AI-linked hardware are likely to be added to coverage as part of the next modification window. Incentive payouts are expected to surge in the second half of FY27, currently far below the pace projected as many firms’ claims begin clearing this year.
- MeitY could modify the Rs 17,000 crore IT hardware PLI in late FY27
- AI servers and AI-linked hardware are under discussion for inclusion
- Second-half FY27 payout could rise sharply from Rs 82 crore so far
- Claims are expected to increase as firms’ FY25 production starts clearing
- PLI scheme 2.0 supports domestic manufacturing of laptops tablets PCs and servers
- 27 approved applicants include Dell HP Foxconn Lenovo and Asus alongside Indian manufacturers
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times