Microsoft reportedly plans to manufacture smartphones in India
Microsoft may start manufacturing mobile phones in India, in order to reduce prices and gain a competitive edge.
Microsoft is considering options to manufacture mobile handsets in India after the government made it more expensive to import mobile phones, according to reports.
Chris Weber, corporate vice-president at Microsoft Mobile Device Sales stated that Microsoft wants to have a competitive edge in the Indian market. The company plans to push down the price of 4G and 3G handsets in the country. He added that Microsoft is planning to launch a premium smartphone this year when the company is scheduled to release Windows 10 and India which is the fastest-growing smartphone market in the world, could be one of the first countries to get it.
Weber stated, "We're evaluating that (local manufacturing) constantly 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." "We continue evaluating that across the globe, including India," he added without elaborating on specific plans.
The US company recently started re-branding Nokia stores a year after the company's acquisition in a $7.2 billion deal. Microsoft was unable to purchase Nokia's phone manufacturing plant in Chennai due to a multi-crore rupee tax dispute that is still unresolved.
Weber who was in Gurgaon to launch the first rebranded store stated that "Of 16,000 stores in all markets, 9,000 are in India. We will invest more in India than any other market in the world for rebranding."
The Indian government has made the import of mobile handsets more expensive in India to promote local manufacturing. Domestic handset makers including Micromax, Lava and Karbonn as well as global manufacturers like Samsung, Xiaomi and Asus have shown an interest in setting up manufacturing plants in the country.
Source: TOI
Silky Malhotra
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