Sridhar Vembu Heads To Japan To Build Rural Manufacturing Bridges

CW Bureau ·

Sridhar Vembu, founder and chief scientist of Zoho Corporation, is once again thinking beyond conventional business strategies. This time, he is looking to Japan’s small and mid-sized enterprises to help revive India’s traditional craftsmanship and strengthen manufacturing capabilities in rural regions.

In a post on X, Vembu said he is heading to Japan to explore partnerships with businesses based in small towns, with the aim of bringing their expertise, craftsmanship and work culture to small-town and rural India. The initiative, he said, is part of a larger mission to restore India’s rich tradition of skilled craftsmanship while creating new opportunities for rural manufacturing.

He said the initiative aims to restore India’s long-standing tradition of craftsmanship, referring to the “Aasaari” culture in Tamil and “Vishwakarma” in Sanskrit, by collaborating with Japanese firms that continue to uphold high standards of precision manufacturing and artisanal excellence.

“Japanese are world leaders in areas that require intricate craftsmanship,” Vembu wrote, adding that the mission has been shaped by his long-time friend Britto, founder of Takumi Motion Controls, who hails from Madurai and spent decades working in Japan.

According to Vembu, Britto’s deep understanding of Japanese business culture and craftsmanship has been instrumental in developing the initiative. He noted that the word “Takumi” itself means “craftsman” in Japanese, reflecting the shared vision of preserving and nurturing skilled manufacturing traditions.

Microsoft pricing, competition
In another recent post, Vembu highlighted the importance of competition in the software industry, citing an instance where a customer reportedly secured a significant reduction in Microsoft Office licence renewal costs after considering Zoho’s office productivity suite.

According to Vembu, the customer informed Zoho that Microsoft initially imposed a steep price increase during licence renewal but reduced the renewal cost by nearly 90% after being told that the organisation was evaluating Zoho’s alternative offerings.

Vembu said the customer thanked him for helping save substantial costs despite not ultimately purchasing Zoho’s office suite.

Referring to Microsoft’s antitrust history, Vembu pointed out that the company had been found to hold monopoly power by a US federal court in 2000, arguing that healthy competition remains essential for customers and the broader technology ecosystem.

Confident about India’s AI future
Vembu also expressed optimism about India’s progress in artificial intelligence, saying there is no reason for the country to be pessimistic about developing competitive AI foundation models.

He said competition among global AI developers, including emerging Chinese AI companies, is beneficial for India and other countries, as it accelerates innovation and reduces costs.

According to Vembu, the cost of training AI models is steadily declining while multiple initiatives are underway across Indian academia and industry.

He also revealed that he recently met members of the BharatGen team at IIT Bombay, describing their progress as encouraging and indicating that he would share more details about the initiative in the near future.

Vembu’s comments reflect his broader vision of strengthening India’s technological and manufacturing capabilities through global collaboration, increased competition and investments in indigenous innovation.