Adani is a trader. He buys existing technology and product from other countries and sells them in India.
Nothing wrong with this approach.
Srinie said:
Without orders nothing is going to happen. Tonbo had the see through armour since 2016 how many have been ordered till date. Bharat Forge how many orders have they got for the variety of guns. Bhooke pet bhajan na hoye
I am not against any approach. I am saying none of conglomerates have patience to understand what requires for R&D. Nor experience to find out right set of persons to man R&D and giving them operational freedom to achieve a Vision.
Buying existing technology and selling to India - is nothing more than privatized ToT(What otherwise PSU did for decades). Its good for skill building. Getting to know what it requires for defense manufacturing. But thats all. Real fun start when you start to invest in product. Mature it patiently. Somebody mentioned TONBO is only assembling. TONBO waited 6 years for orders. .... Until unless you have consistent Large Orders, you dont build complete ecosystem. You use what sub COTS are available locally rest import. TONBO is a good example. They researched their products, licensed required IP's , Designed their own product and productionized it. Such a small company yet it knew any new product is not readily gobbled up by Market especially defense that too Indian. they did not sit and wait - they started selling outside India - whoever required(e.g. US Army). Thats how it works.
Sometimes even to establish a product you cut copy paste from existing products to build working prototypes. SSS defence comes to mind. But then This is not unheard of. I dont know how many remember Home grown fibre Glass car Dolphin/Montana by Sipani Automobiles? That car was amalgam of UK Reliant Kitten Design and Maruti/home grown parts. Sipani is forfather of Reva which taken over by Mahindra. Thats just one example.
Even If a company manages to buy a really good Tech company outside - the laws are so strict that it takes years(if it goes through) to get technology flowing down to India(Host Legal Laws). Case in Tata motors and LR Jaguar, Mahindra and SsangYong.
Now take case of Kalyani. They bought lock stock barrel Barrel Casting from Europe(Sweden). Low recoil technology from an American company called mandus. Yet they had their own independent R&D to spn off there own Guns as well as support ATAGS program. Kalyani had to almost wait for nearly decade and change of govt for these plans to be implemented.
As
@ezsasa said - You need entrepreneurial as well scientific & engineering bent of mind to lead such organizations(0like Baba Kalyani). Or somebody Like Rajeev Bajaj who gives freedom to teams to innovate and crack the market(Read how Bajaj shifted from scooters to motorcycles, how Rajeev built his team - faced doubts from his father over change of track).
Mere hiring acquisitions in hope of winning Armed forces contract - and dumping off - if you dont win contract - really doesnt foster R&D spirit. You shall end up with waste of resources like Pipavav Yards.