Under no means should HAL be given any participation in AMCA.
They need to deliver 83 TejasMk1A, another 97 TejasMk1A/B, 120+ Tejas MK2. Probably more orders coming for Hawks or future trainer. And the CATS warrior thing. I assure you none of this will be on time. Giving them AMCA will be an exercise in putting more fresh eggs in a basket of rotting eggs.
I would make the following changes to the EOI:
1. Allow recruitment of foreign talent at CEO, CTO other positions.
2. Allow minority participation in consortium by a foreign OEM from a vetted country.
3. Remove this stupid 2000cr a year clause, or allow for participants to count the revenue of other group companies.
4. Make a clause that any participant with a large undelivered order book with delays is disqualified - hence removing HAL.
5. HAL can participate as a Tier 1 vendor or supplier if they have capacity.
We want to have at least 2-3 aerospace majors in the next 10-20 years, this is the only way.
If no private company comes forward, government should create a new Greenfield semi-PSU as an alternative to HAL. Bharat Aerospace or whatever you want to call it.