HMD Global’s aim is to be amongst the top three smartphone players over the next 2 to 4 years.
HMD Global, which makes Nokia mobile phones, might explore the possibility of manufacturing mobile’s components in India, over the next 2-4 years. The move which can help bring down costs is likely to work in line with the Centre’s phased manufacturing programme.
Ajey Mehta, vice president and country head – India, HMD Global, told Business Line that in the long term, it may also join hands with new contract manufacturers to increase production capacity here. Nokia’s current local manufacturing partner is Foxconn.
Mehra further stated that at the moment, they are happy with Foxconn but might venture out the possibility to look for local manufacturing in India. Currently, printed circuit boards are being made indigenously through Foxconn.
He informed that in terms of component manufacturing at a local level, the industry and HMD Global have agreed to adhere to the phased manufacturing programme.
Going Forward
Keeping in line with the industry average, nearly 60 per cent of Nokia handset sales come from offline channels, and the remaining from online players. So, the company could explore setting up standalone stores if there is a valid commercial proposition in it.
Commenting on the same, Mehra informed that HMD Global’s aim is to be amongst the top three smartphone players over the next 2-4 years. Various industry reports say that Nokia has a 3.5 per cent market share (as of Q4 2018) in the smartphone segment.
