§1Who it is for

  • Global, hybrid and domestic IT hardware makers

Useful if

Indian electronics assemblers already doing ₹50 crore+ in laptops/tablets/servers, if a window reopens.

Do not spend time on it if

Startups without manufacturing sales or firms that cannot commit ₹20 crore fresh investment.

§2Eligibility

  1. Any company registered in India can apply (para 10.1).
  2. Only one application per applicant.
  3. Applicants under existing PLI IT Hardware who have not claimed incentive may join as new entrants; those who claimed can join from the next year.
  4. Must meet yearly thresholds of incremental investment (after 31.03.2023) and incremental sales (Annexure-A).
  5. Domestic company = more than 50% of capital beneficially owned by resident Indian citizens and/or Indian companies owned and controlled by them (FDI Policy 2020).
  6. Server makers must use firmware from Indian sources or trusted foreign sources certified by MeitY.
  7. Selection by combined ranking and budget availability per category.

§3Benefits

  • Average incentive of around 5% for localisation of items in Annexure-B; tapers every year.
  • Ceiling per company: ₹4,500 crore (global), ₹2,250 crore (hybrid), ₹500 crore (domestic).
  • Tenure 6 years from 1.07.2023, 1.04.2024 or 1.04.2025 as opted.

§4Norms — pattern of assistance

  1. Investment threshold — Global: ₹500 crore over 6 years (cumulative min Year 1: 50, Y2: 150, Y3: 250, Y4: 350, Y5: 450, Y6: 500 crore).
  2. Hybrid: ₹250 crore over 6 years (Y1: 25 … Y6: 250 crore).
  3. Domestic: ₹20 crore over 6 years (Y1: 4, Y2: 8, Y3: 12, Y4: 15, Y5: 18, Y6: 20 crore).
  4. Incremental sales threshold — Global: Y1 ₹1,000 crore rising to Y6 ₹15,000 crore; Hybrid: Y1 ₹500 crore to Y6 ₹7,500 crore; Domestic: Y1 ₹50 crore, Y2 ₹100 crore, Y3 ₹200 crore, Y4 ₹300 crore, Y5 ₹400 crore, Y6 ₹500 crore.
  5. Laptops counted at invoice value ₹30,000+ and tablets ₹15,000+ for global/hybrid categories.
  6. Base year FY2022-23 (FY2023-24 / FY2024-25 for later joiners).
  7. Investment shortfall of X% (up to 40%) cuts PLI by X/2%; held-back PLI released without interest if cumulative target is met later.
  8. Penalty of 5% if actual PLI is 25–50% below the estimate given at application; 10% if more than 50% below.
  9. Investment in contract manufacturing facilities counts as the applicant's investment.

§5Documents

Not published

The guideline does not list the documents. Ask the portal or bank before you apply — we do not make up lists.

§6How to apply

  1. 1

    Applications are taken only when MeitY opens a window; check the MeitY PLI 2.0 page.

§7Pros and cons

Merits

  • Domestic category threshold starts at only ₹4 crore investment in Year 1 (₹20 crore over 6 years) — the lowest entry point among electronics PLIs (notification).
  • Investment by exclusive component suppliers can be counted towards the applicant's threshold (para 5.2.3).
  • PIB (Nov 2023): 23 of 27 approved applicants were ready to start manufacturing on day zero.

Demerits

  • Domestic firms still need ₹50 crore incremental sales in Year 1 rising to ₹500 crore by Year 6 (Annexure-A).
  • Penalties if actual PLI falls short of projections (para 8.3).
  • PLI pays only on incremental sales over a base year, so a new or small firm with no base-year sales or below the thresholds gets nothing (scheme design, PIB 2026).

→Related schemes

Need help with PLI IT Hardware 2.0?

Eligibility check, DPR and application file — ask us on WhatsApp.

Our interestHelp is our paid service. You can also apply for the scheme yourself.

Sources

  1. PIB Cabinet, 17 May 2023: PLI 2.0 for IT Hardware, ₹17,000 crore
  2. PIB, 30 May 2023: MeitY invites applications under PLI 2.0 IT Hardware
  3. PIB: Date for applications under PLI 2.0 IT Hardware extended till 30 Aug 2023
  4. PIB, 18 Nov 2023: 27 manufacturers approved under PLI 2.0 IT Hardware
  5. Gazette notification: PLI Scheme 2.0 for IT Hardware (MeitY)

Checked on 18 October 2026. For information only — confirm with the department or bank. Spotted a mistake? Report it.