Alibaba-Funded Enterprise Is Negotiating With Foxconn To Produce Phones In India
Alibaba wants to manufacture smartphones in India with the help of Foxconn.
Alibaba-supported enterprise, Meizu Technology, is talking with the Taiwanese organization, Foxconn Technology Group, to produce high-tech phones in India, a senior executive stated. Alibaba news exclaimed that it is also collaborating with the online seller to introduce some of its services and applications in the second most populated country through Meizu products.
Alibaba news today disclosed that Foxconn currently produces smartphones for Meizu at its production plants in India. An official at Meizu Technology, named Li Nan, believes that if each and everything goes in accordance to the plan, the organization would successfully begin manufacturing in India in the next 180 days.
Foxconn is interested in setting up 10 to 12 producing facilities across the region by 2020, its chairman, Terry Gou, claimed during his recent visit to the South Asian territory. The enterprise has already begun producing for the Asian phone maker, Xiaomi, from a plant in Vishakhapatnam.
Alibaba breaking news affirmed that recently well-known smartphone companies, such as Vivo, Gionee, and Asus have expressed their interested in establishing production facilities in the emerging economy. The East Asian company, Lenovo, has also begun to assemble products under Lenovo and Motorola brands in the country.
India is about to become the world’s second biggest smartphone market in the coming years, as claimed by IDC, which recently stated that shipments to the country have increased by 44% to 26,500,000 units in the quarter to June. Meizu also intends to introduce services related to payments and online trading there.
Alibaba enterprise has invested funds worth $590,000,000 in Meizu. The Huangzhou-based company would enable the phone maker to establish more service centers in India, which has established 40 service centers in 20 different Indian cities and intends to take the figure up to 50 in the coming few months. In addition to that, it would introduce Delivery Repair Services in the region.
Like other Asian businesses, the enterprise is focusing on the online selling platform in India. It has collaborated with Amazon and Snapdeal. Meizu has introduced its flagship product MX5 at Rs.19,999 in partnership with AliBaba-supported Indian electronic selling company, Snapdeal.
Industrial specialists have shared their perspective that if the collaboration succeeds in producing smartphones in the region, it would provide job opportunities to Indian residents. Alibaba’s officials should take measures to convince Foxconn that it should cooperate with Meizu; otherwise, its funded business might fail to grow in the corporate world.
Meizu is ready to collaborate and favor Alibaba in every possible way. This holds mutual benefit for both businesses and acts as a bridge to further growth opportunities. The size and scalability of the Indian market is a point of attraction for any business. The one who capitalizes on it will surely reap the rewards.
