HMD to foray in India's sub-₹10,000 5G smartphone segment: Ravi Kunwar
HMD
said India remains a key market for the brand from a revenue contribution and manufacturing perspective, and it is working with both mainline and digital commerce platforms to sell handsets.
'For us, India remains a key focus market as a brand. To meet the specific needs of Indian consumers, we have introduced several devices tailored for this market, including HMD-branded and Nokia devices. We are also preparing to launch a new
5G
smartphone priced under ₹10,000, targeting the high demand for affordable devices in India,' Ravi Kunwar, vice-president (VP) & CEO,
HMD India
and APAC, told
ETTelecom
.
'India remains our largest market by resources and financial contribution, and we are committed to expanding our operations, partnerships, and product offerings to strengthen our market position in both feature phones and smartphones,' he added.
ETTelecom in its February 7, 2025, edition, reported
that the sub-₹10,000 5G smartphone shipments may contribute to the overall industry's volumes despite multiple challenges, albeit in single digits.
The brand is present in more than 1 lakh traditional or mainline retail stores in India, but it is now 'significantly working' with both e-commerce platforms, such as Amazon, and quick-commerce channels, including Blinkit, Kunwar said.
HMD's brand e-store, according to him, is expanding and strengthening in terms of product availability and distribution channels.
'Our strategy involves working closely with distributors and retailers, offering comprehensive support and incentives, as well as engaging in robust marketing activities to optimize reach and execution, especially ahead of major sales cycles,' he said.
The top executive's comments come at a time when HMD is scaling back its operations in the USA amid a 'challenging geopolitical and economic environment', the international media reported recently.
HMD, in 2016, had bought the Nokia feature phone business from Microsoft and had also secured a license to sell Nokia-branded smartphones and tablets, particularly in the mid-range segment.
However,
HMD Global
is now focused on selling smartphones under its own brand and exploring white-label manufacturing opportunities. This followed after HMD signed an agreement with Finnish Nokia in 2023 to ramp down the smartphone business, with which it had forayed into the market in 2016.
READ MORE | Sub-$100 smartphone to boost affordability, experience, 5G shift: Qualcomm's Savi Soin
'95% of our devices are manufactured in India. Over the past couple of years, we've also started exporting these 'Made in India' devices to other countries,' Kunwar said. 'India is not only our manufacturing hub but also the most important market for us from both a business perspective and a growth opportunity standpoint,' he added.
Prachir Singh, a senior analyst with Counterpoint Research, told
ETTelecom
that HMD, including its Nokia-branded smartphones, has maintained a low market share in India, primarily due to a limited product lineup, weak channel engagement, and declining consumer recall.
'The brand hit a peak in Q2 2023. However, its share remained below 1%. HMD officially entered the Indian smartphone market under its own branding in Q3 2024 with the Crest and Crest Max series. However, these models struggled to gain traction amid intense competition and a crowded value segment,' Singh said.
As a result, HMD presently has a marginal presence in India, with the brand 'significantly outpaced by more aggressive and better-positioned rivals', he added.
Kunwar said that in the feature phone segment, the brand is currently 'number one in value and a close number two in volume', making this category a strong performer for the company in India.
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