Microsoft Might Set Up a Smartphone Manufacturing Unit in India
The smartphone landscape in India is rapidly flourishing. Previously Xiaomi expressed its view to build a manufacturing unit in the country and now, Microsoft is mulling over the same thought. The US-based firm Microsoft is pondering over establishing a local manufacturing unit in India after the government’s decree on import. The company says that post the Indian government’s rigorous take on international organizations, it would be expensive to bring phones to the country.
Corporate Vice-President at Microsoft Mobile Device Sales, Chris Weber reiterated the same, “We’re evaluating local manufacturing in terms of what our local footprint is. There are some new regulations and tax duties, etc., about local manufacturing and certainly we’re looking at them to make sure that we remain competitive.” He further mentioned that the evaluation is underway for all nations including India.
Microsoft got a boost in the smartphone business with the buyout of Nokia’s device business for $7.5 billion last year. The firm has a foothold in the market, but to stay ahead of its competitors like Samsung, Xioami, Micromax and more, Microsoft needs to offer phones at an unbeatable price point.
As an Indian origin firm, Micromax has added benefits. It can retail its handsets at comparatively lower prices as the Indian government has relieved the home-grown companies from many taxes to give them a push. On the other hand, the current budget puts excessive load on foreign tech companies since it has made import even more pricey. It has led global companies to consider establishing a manufacturing unit in India.
Weber said that Microsoft will update its 4G devices portfolio in India and make a comeback in the premium smartphone market this year. The hardware and software beast now has several budget and mid-range smartphones in its portfolio. Seeing people’s inclination to high-end devices like Galaxy S6 and iPhone 6 Plus, Microsoft is planning to throw its top-notch devices in the marketplace and enter the premium smartphone battle.
The American multinational technology firm is presently rebranding the brick-and-motor stores of Nokia all over the world. The rebranding will be held in two categories – Microsoft Priority Resellers and Microsoft Mobile Sellers. The former one will keep all the company products, and the latter will be an experience store.