3 Chinese smartphone brands among global Top 5

[Chanakya's_Chant]

No, you didn't miss any point.

The Chinese domestic market ALONE is enough to propel Lenovo/Xiaomi/Huawei from the current 3-4-5 position to something higher.

And still India has nothing compared to Lenovo, a global market leader. India's smartphone companies just sell re-branded Chinese mobiles, they have no interest in designing their own when they can just import Chinese designs and resell them for huge profits to their fellow Indians.

And we are happy to be a part of that. The only ones who lose are the Indian consumers.

India's Micromax Mobile ranks #10 in the list of Global Smartphone Brands with a market share of 2%. This year only it shifted its assembly line from China to manufacture its Smartphones, LEDs and tablets in Rudraprayag plant located in Uttarakhand.

Indian Smartphones: Micromax Enters Top 10 Global Mobile Phone Rankings | BusinessKorea
Micromax starts manufacturing SmartPhones in India

As far as the price is concerned - the price of Micromax mobiles is reasonably low compared to Nokia, Samsung, Apple, Xaomi and Lenovo etc. - the reason why it fares well in the standard phone segment also (In India Xaomi and Lenovo are the only Chinese Brands that have a reasonable market share in Indian Smartphone Market)

 

[Chinese-Dragon]

India's Micromax Mobile ranks #10 in the list of Global Smartphone Brands with a market share of 2%. This year only it shifted its assembly line from China to manufacture its Smartphones, LEDs and tablets in Rudraprayag plant located in Uttarakhand.

Indian Smartphones: Micromax Enters Top 10 Global Mobile Phone Rankings | BusinessKorea
Micromax starts manufacturing SmartPhones in India

As far as the price is concerned - the price of Micromax mobiles is reasonably low compared to Nokia, Samsung, Apple, Xaomi and Lenovo etc. - the reason why it fares well in the standard phone segment also (In India Xaomi and Lenovo are the only Chinese Brands that have a reasonable market share in Indian Smartphone Market)

Like I said, Micromax just sells re-branded Chinese mobiles.

They just import and sell it. They are a middleman who make great profits from Indian customers.

How Micromax used China to build its business - Rediff.com Business

 

[SarthakGanguly]

Like I said, Micromax just sells re-branded Chinese mobiles.

They just import and sell it. They are a middleman who make great profits from Indian customers.

How Micromax used China to build its business - Rediff.com Business

Not anymore. They used to, no doubt. But not anymore. They have their own R&D division and the newer models are not copies.

That's how they got the Android One contract, alone with another from Microsoft. Clones don't get that.

 

[Chinese-Dragon]

Not anymore. They used to, no doubt. But not anymore. They have their own R&D division and the newer models are not copies.

That's how they got the Android One contract, alone with another from Microsoft. Clones don't get that.

Micromax doesn't sell clones though, they literally just import Chinese mobiles off the shelf, re-brand them and then sell them.

Same with the supposed "cheapest tablet in the world" in India, which was bought off the shelf from Chinese manufacturers and simply assembled in India.

Was 'Indian innovation' Aakash 2 tablet made in China? - Economic Times

"NEW DELHI/BANGALORE: The much-publicised world's cheapest tablet, Aakash 2 launched by President Pranab Mukherjee on November 11, may have been a cheap import from China, embellished with some applications from IIT Bombay, and not an Indian innovation that it was made out to be."

I don't blame the Indian middlemen for making huge profits from re-selling our stuff, they paid us for it, so we're not worried about what they do with it.

@DRAY

 

[Jackdaws]

I just acquired the One Plus One - surprised at how good it is.

 

[SarthakGanguly]

Micromax doesn't sell clones though, they literally just import Chinese mobiles off the shelf, re-brand them and then sell them.

Same with the supposed "cheapest tablet in the world" in India, which was bought off the shelf from Chinese manufacturers and simply assembled in India.

Was 'Indian innovation' Aakash 2 tablet made in China? - Economic Times

"NEW DELHI/BANGALORE: The much-publicised world's cheapest tablet, Aakash 2 launched by President Pranab Mukherjee on November 11, may have been a cheap import from China, embellished with some applications from IIT Bombay, and not an Indian innovation that it was made out to be."

I don't blame the Indian middlemen for making huge profits from re-selling our stuff, they paid us for it, so we're not worried about what they do with it.

@DRAY

Like I said. They don't do that anymore. Unless the experts in Miscrosoft and Google have both been fooled...there is not reason to believe that they are into orginal manufacturing now.

Akash 1 was the innovation. And it was made in a lab. Akash 2 is a Datawind product and not sponsored by the Govt. It has little to do with the original made in India product.

I do mind the middlemen. Buggers sold me a tab years ago of Karbonn, which I found to be some Chinese rip off. By then it had stopped working obviously. Bad boys.

 

[Chinese-Dragon]

Like I said. They don't do that anymore. Unless the experts in Miscrosoft and Google have both been fooled...there is not reason to believe that they are into orginal manufacturing now.

Akash 1 was the innovation. And it was made in a lab. Akash 2 is a Datawind product and not sponsored by the Govt. It has little to do with the original made in India product.

It doesn't bother me what you do with our products.

If you paid for them, you own them.

 

[Chanakya's_Chant]

Like I said, Micromax just sells re-branded Chinese mobiles.

They just import and sell it. They are a middleman who make great profits from Indian customers.

How Micromax used China to build its business - Rediff.com Business

The report you quoted is about 2 years (Feb'13) old when they were still importing from China - The manufacturing facility was shifted earlier this year in March 2014 in Rudraprayag. They have their own R&D centre in Bangalore which designs both their software platform and Smartphones which aren't limited to Android but also to Windows Phone. Public Sector firms have also encouraging the semiconductor/telecom equipment manufacturing Industry in India.

Automated Pick & Place Component Insertion Line for Using SMT at VMC’s Manufacturing Facility at Maheshwaram (Hyderabad)

Indian manufacturer Micromax working on a Windows Phone for 2014 | Windows Central
Indian Telecom Equipment Manufacturing | knowledgefaber

 

[TaiShang]

Gartner: Xiaomi’s 300% growth rockets it to a Top 5 smartphone vendor
by Ron Amadeo - Dec 16 2014, 7:20am TST

• 

Xiaomi's flagship, the Mi4.

If we were to have you list the worldwide smartphone market share leaders, we bet nearly everyone would put Samsung at #1 and Apple at #2. But who's #3? LG? HTC? Sony? The correct answer would be "None of the above."

Gartner recently released their smartphone market share numbers for Q3 2014, and the #3 spot is pretty much a three-way tie. Right behind the two leaders are a trio of Chinese companies: Huawei, Xiaomi, and Lenovo.

The actual market share numbers for Q3 2014 break down to Samsung at 24.4 percent, Apple at 12.7 percent, Huawei at 5.3 percent, Xiaomi at 5.2 percent, and Lenovo at five percent. At this time last year, Gartner reported Xiaomi was only at 1.5 percent market share, so the company has experienced a 336 percent jump. The big loser of the group was Samsung, which dropped 7.7 percent from last year. The company is still coming back down to earth after a record 2013, and it expected a 60 percent profit drop in Q3.

What's amazing about Xiaomi is that hit Top 5 market share while only being in a handful of markets. The company's primary market is its home country of China, and it also does business in Malaysia, Singapore, and India.

While Xiaomi's sales are skyrocketing, it's getting there on the back of razor thin margins. Re/codereports that Xiaomi only made $56 million in profits in 2013, a 1.8 percent operating margin. For reference, Apple's operating margin is 28.7 percent and Samsung's is 18.7. This was before the 336 percent market share increase, but it doesn't seem like the company will be rolling in cash anytime soon. Xiaomi is privately owned, 77.8 percent of which belongs to the founder and CEO. So, really, the company is free to do whatever it wants.

And Xiaomi's profit situation isn't as bad as it sounds. The company did invest $200 million into Midea Group Co Ltd, an electrical appliance maker, which is how their financial results became public. The goal of the investment is to create an ecosystem of Internet connected devices. Xiaomi seems to be following the Amazon model of growth: invest every cent you make and show almost no profits.

Earlier this year, we took a look at Xiaomi's flagship smartphone, the Mi4. It's a wonderfully-built device with a 5-inch, 1080p screen, Snapdragon 801 SoC, and all the bells and whistles you would expect for only $350. That's about half of what Samsung would charge for something with similar specs.

 

[Beast]

But the point is that China is still a follower, the leaders are elsewhere who changed the way we use the tech, starting from iOS, Android, Windows PC, Mac to mobile technology, internet, television, radio and most of the other things that changed the way we live today. China cannot be a global leader em unless they come up with innovations that are life altering.

Slowly my friend. Rome is not build in a day. Alibaba taobao is doing very well with its innovative business module which leaves Amazon and eBay behind. It's transaction is on mark to reach 1 trillion.

Look at South Korean of what innovate their have offer and yet they can be leader in smartphone section? Their sucess lies in their business model. Cost cutting, dumping out model with just technically better spec than rival. Like better resolution screen, bigger and more powerful camera.
This module used to be very successful as Chinese companies has not enter market yet to compete in their section. Now you see Samsung market are starting to tumble with Chinese participating. When comes to price out competitor, nobody can matched China company. Samsung has never offer any innovation. They are just ride on the luck,no Chinese company comes to challenge them. Now Samsung are seeing the effect. Less market share, steep profit drop. More to come.

 

[dray]

Not anymore. They used to, no doubt. But not anymore. They have their own R&D division and the newer models are not copies.

That's how they got the Android One contract, alone with another from Microsoft. Clones don't get that.

Three Indian companies have got the contract for making Android One phones, Micromax, Karbonn & Spice, three more are about to join the league (or already have joined), Intex, Lava & Xolo. All of them now have manufacturing facilities in India, and they have got the contract as "Original Equipment Manufacturers".

@Chinese-Dragon unless China has something like Android or Windows to win the world market share, your position as OEM will remain volatile and replacable. As I said, the only advantage China has is low-cost, but that is not a permanent advantage.

 

[Chinese-Dragon]

Three Indian companies have got the contract for making Android One phones, Micromax, Karbonn & Spice, three more are about to join the league (or already have joined), Intex, Lava & Xolo. All of them now have manufacturing facilities in India, and they have got the contract as "Original Equipment Manufacturers".

@Chinese-Dragon unless China has something like Android or Windows to win the world market share, your position as OEM will remain volatile and replacable. As I said, the only advantage China has is low-cost, but that is not a permanent advantage.

Considering that China and India have a similar population, China's economy is $10.4 trillion compared to the current $1.8 trillion GDP of India.

Which means we have a massively higher per capita income than you guys.

So you should have the cost advantage. But you don't, and that's due to infrastructure. SE Asia is poorer than China but richer than India on a per capita basis, but they have good infrastructure.

That's why manufacturing is going to SE Asia, not India. Despite them having a higher per capita than you.

 

[dray]

Slowly my friend. Rome is not build in a day. Alibaba taobao is doing very well with its innovative business module which leaves Amazon and eBay behind. It's transaction is on mark to reach 1 trillion.

Look at South Korean of what innovate their have offer and yet they can be leader in smartphone section? Their sucess lies in their business model. Cost cutting, dumping out model with just technically better spec than rival. Like better resolution screen, bigger and more powerful camera.
This module used to be very successful as Chinese companies has not enter market yet to compete in their section. Now you see Samsung market are starting to tumble with Chinese participating. When comes to price out competitor, nobody can matched China company. Samsung has never offer any innovation. They are just ride on the luck,no Chinese company comes to challenge them. Now Samsung are seeing the effect. Less market share, steep profit drop. More to come.

South Korean phone makers won't be able to maintain their position in the long run because of their much higher price for minimum product differentiation, all are Android phones afterall. And that's why I am saying that even China will be replaced by someone in a similar manner unless they come up with a major product differentiation, something way better than Android, and there comes innovation which is much difficult to achieve.

 

[ashokdeiva]

Congrats to all the companies. But I got to say that the life cycle to switch between phones these days has increased a lot. People do not utilize the phones to its full life which means that we are consuming more resources faster than the planet can consume and generate raw material from the ewaste that we dump. For short term growth and money making we are killing the planet

 

[dray]

Considering that China and India have a similar population, China's economy is $10.4 trillion compared to the current $1.8 trillion GDP of India.

Which means we have a massively higher per capita income than you guys.

So you should have the cost advantage. But you don't, and that's due to infrastructure. SE Asia is poorer than China but richer than India on a per capita basis, but they have good infrastructure.

That's why manufacturing is going to SE Asia, not India. Despite them having a higher per capita than you.

These differences can be bridged in 5 to 10 years maximum, and you know we will do it now, and you also know why, and you are already seeing the steps being taken.

But yes, you are just saying what I am saying, tomorrow any SE Asian nation can also replace Chinese phone brands because the only USP they have is cheaper price.