He is saying that Kaveri can be upgraded after they absorb the missing technologies they need to master through collaboration with a foreign partner for the 110Kn engine.
The investment of $2.5 billion is for the AMCA 110Kn engine development which will include infra like HATB and FTB. The case is with the government.
I again watched the entire video and made a short summary as posted below. We are getting confused since they are talking about both 4th gen Kaveri and 5th gen JV engine simultaneously and the Director himself corrects his investment figures for 4th and 5th gen engines later in the interview. The GTRE director says towards the end of the interview from 34:24 that we need $2.5 billion for 85 kN engine and more than that for 120 kN while at the beginning of the interview from 17:48 to 17:56 he says we need $2.5 billion for 5th gen engine!
We are developing technologies on our own instead of waiting for the JV for 5th and 6th gen tech, my understanding of the 5th gen engine JV is that we want to take a good look/understand/ToT of the mass manufacturing technologies for making a military jet engine which we will further spinoff to commercial engines as well which the GTRE Director also alludes to in the interview.
Please note than the below incomplete summary is my interpretation of the interview and I would strongly urge forum members to watch the full interview to get the entire picture. I am only providing summary for the parts that I found relevant!
From 5:33 to 7:16
What has been achieved in Kaveri engine?
Total no of engines = 13 (9 full + 4 core)
Tested for 3400 hrs. including GTRE testbed + HAT (180 hrs.) + FTB (57 hrs.) at CIAM
Achieved 49kN vs 52kN (based upon what was tested way back at CIAM)
Safety + life reliability test completed
T/W achieved 6.5 supposed to be 8
From 7:25 to 10:48
What is being done to achieve better T/W?
Through tech development projects with labs and industry
Higher TeT through SX blade
Lower weight through blisk
Boltless blade retaining arrangement
PM disk for HP turbine
From 10:49 to 13:21
Rare earth metal bank for PM disk and other engine components + 50,000 ton forge at HAL
From 13:22 to 15:52
5th gen engine development
T/W required 10
From 15:53 to 18:50
Collaboration for 5th gen engine
$250 million spent on Kaveri development
$2.5 billion for 5th gen development
From 18:51 to 20:53
Why delay in Kaveri?
Technical challenged faced during development
Getting slot for HAETF is an issue!
Delay in FTB!
Need for India to establish altitude testing and component testing facility
EBPVD TBC coating
Already proposing with GoI to establish material, manufacturing, altitude testing, FTB altogether
From 20:54 to 22:39
Whether countries are ready to provide technologies and test facilities?
GTRE Director very clearly says that DRDO is proposing to establish on our own all the testing facilities parallelly to the ongoing discussions with foreign OEMs
Engine has to be manufactured fully in India (presumably he is talking about 5th gen engine) + MRO
National mission
Manufacturing with Indian industry
Manufacturing technology to be transferred to industry by both the sides (presumably he means from GTRE + foreign OEM)
From 22:40 to 25:05
Timeframe for technology development?
10 yrs.
Talks about the technologies to be developed, testing to be done, certifications
1 to 2 yrs of flying in designated aircraft also taken into account in this timeframe
At 25:32 there is an edit in the video when something very important was being asked!
From 28:30 to 29:28
Technology development for 5th & 6th gen we have already started
6th gen T/W requirement is 14
SX blade to be replaced by CMC in 6th gen, already working with NAL
From 34:24 to 36:44
$2.5 billion required for 85 kN type of thing, higher for 120 kN (footnote put in by the channel shows $4.5 billion required for 120 kN engine but this figure wasn't uttered by the Director he only said higher than $2.5 billion)
From 36:45 to 37:25
Small turbo fan engine for ITCM (or future any other missile) we are totally Aatmanirbhar