GX Group to invest ₹500 cr in local photonics manufacturing venture

Dutch broadband and connectivity technology company GX Group will invest ₹500 crore in India to manufacture indigenous photonics modules and chip systems for next-generation broadband, 5G, 6G, and quantum communications, the company said on Friday.

 

The firm has set up a new entity, GX Quantum Photonics Pvt. Ltd, which will mark its entry into the segment and lead local manufacturing in partnership with SMART Photonics BV of the Netherlands and Invest International.

 

Building India’s first photonics chipsets

 

Photonics technology is crucial for high-speed, energy-efficient communication networks. The new venture will produce Indium Phosphide (InP)-based photonic integrated circuits (PICs) used in optical data transmission, LiDAR systems, and quantum devices.

 

 

The company said the move aligns with the government’s push for domestic semiconductor and optics manufacturing.

 

“Through GX Quantum Photonics, we are creating India’s first photonics modules and chipsets designed, developed, and built domestically,” said Paritosh Prajapati, chief executive officer, GX Group. “This marks a shift from importing optical technology to exporting innovation.”

 

The investment will create 300 high-skilled jobs and establish a research and manufacturing hub for photonics modules, co-packaged optics, and AI-ready optical systems. GX Group plans to supply components to telecom networks, hyperscale data centres, and EV LiDAR industries, Prajapati added.

 

Dutch partnership for global standards

 

Johan Feenstra, CEO of SMART Photonics BV, said the partnership merges India’s ambition for “technological sovereignty” with Dutch expertise in optical chip fabrication.

 

“Together, we will set new benchmarks in optical innovation and energy-efficient data infrastructure,” Feenstra said.

 

GX Group is targeting a share of the global photonics market, estimated at $920 billion in 2023, and projected to reach $1.64 trillion by 2032, according to Fortune Business Insights.

 

Within this, the photonics module and optical transceiver market is expected to grow from $20 billion to $50 billion by 2030, driven by 5G rollouts, AI adoption, and data centre expansion.

 

Linked to India’s semiconductor mission

 

GX Quantum Photonics has applied under the Production Linked Incentive (PLI) scheme for large-scale electronics manufacturing and aims to align with national initiatives such as Semicon India, the Quantum Mission, and the National Policy on Electronics (NPE) 2019, the company said.

 

GX Group, which operates facilities in India and Europe, currently supplies fibre-to-the-home devices, enterprise-grade switches, and Wi-Fi routers across Asia, Europe, and Africa.

 

The company said its entry into the photonics segment will position India as a global production hub for optical and quantum technologies.