Chinese & Taiwanese mobile phone firms search for channel partners in India

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By Srabani Sen

About 60 exhibitors from various fields of telecom and communications, representing countries like China, Taiwan, Hong Kong, Japan, Korea and India at the 6th CMAI India International Communications Fair (ICOMM 2011) in New Delhi, were quite upbeat about the fast growing telecom market in India.

India has become the fastest growing telecom market in the world today, and is the second largest in the number of subscribers. With the launch of 3G technology in the country, India adds about 18-20 million subscribers per month. So there is a good demand for anything to do with mobile phones, mobile accessories, mobile components, value added services, e-commerce, mobile governance, machinery for testing and manufacturing mobile phones, etc.

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The B2B event—ICOMM 2011—had resulted in contracts worth US$ 65 million, and five companies committed to start manufacturing facilities in India for handsets and tablets with an approximate investment of US$ 250 million. The event also witnessed the launch of the Indo-Global Digital Devices Association, a joint mission of companies from India, China, Taiwan, Hong Kong and Japan, for the promotion of mobile, tablet and digital devices in India. The association will help in facilitating FDI investments and strategic tieups in the Indian market.

While many of the Chinese and Taiwanese companies at the event were on the look out for channel partners in India, the Indian players had expressed their desire to tie up with mobile phone and smartphone OEMs and expand their business overseas as well. “Chinese manufacturers are developing mobile phone products specifically for Indian buyers in a bid to tap the country’s booming market,” said David , sales director, overseas sales department, marketing centre, Shenzhen Migo Telecom Technology Co Ltd.

Chandresh Sharma, manager, R&D, Terminals, MSAI, agreed with this view. “India is an important market for global mobile device manufacturers with aspirations to grow their global market share,” he stated. MSAI is the premier force behind developing standards in the Indian mobile industry, which it does by studying global practices and customising them for specific Indian needs. These standards are created and implemented to enhance the value chain which the mobile industry provides to the Indian consumers.

On the other hand, after grabbing a considerable chunk of the market from global mobile giants like Nokia, Samsung and Sony Ericsson, Indian handset players are now focusing on foreign shores to expand their reach. Indian brands like Karbonn Mobiles, Micromax and Intex are fast penetrating into markets in Bangladesh, Sri Lanka, West Asia and Nepal. “Maxx Mobile has entered Dubai and Bangladesh markets and is doing quite well,” said Sandeep Tomar, zonal manager, sales, Maxx Mobile.

Sensing the huge potential of the Indian market, many new domestic brands are entering the market, such as Josh Mobiles, which was launched pan-India in 2010. “The Josh brand is growing in leaps and bounds. With our exhaustive R&D, we have successfully generated innovative technologies and are all set to revolutionise the telecom consumer space,” said a Josh Mobile representative at the event.

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