HMD Global, the manufacturer of Nokia-branded phones, is looking to make India its future export hub, and will be using a large part of the fund, that it has just raised from investors. HMD Global has recently raised $230 million from many investors such as Nokia Technologies, Google, and Qualcomm. HMD is currently looking to work with Indian contract manufacturers, Qualcomm and Google, to bring low-cost 4G and affordable 5G phones in the coming future.
This new fund enables the company to focus on some of the key growth initiatives going forward. One of them is especially for the European and the US markets. HMD wants to focus on bringing the 5G transition that is not just limited to the top-end portfolio, but to make the transition to the 5G technology more affordable. The company has already made a small investment in Finland in a software security center, that it has recently opened and is playing a key role in software quality management. The company has plans to further invest in other software areas like imaging. Earlier, HMD launched its first data connectivity service as a pilot project titled ‘HMD Connect’ at the beginning of 2021 and it’s a great opportunity for HMD Global to offer consumers directly, the ability to connect their devices, right when they buy a device from HMD or its partners.
The company is already producing feature phones in India for a long time with its partner Foxconn. Now, the company is focusing to set a strong foothold by working together will local smartphone component manufacturers. Once the company establishes a setup, it can have envisioned India as an export hub. Nokia will not be the one eyeing India as a producing hub. Nearly each main smartphone model together with Apple, Samsung, Oppo, and extra are deliberate to increase manufacturing efforts in India, primarily to avail the advantages of the government’s production-linked incentive, or PLI scheme. Under the scheme, the Indian government plans to incentivizelarge-scale electronics producers to shift their manufacturing crops to India by giving them incentives, if they meet sure objectives.
The Indian authorities can disburse as much as Rs 40,951 crores as production-linked advantages in the next 5 years. Apple has already dedicated to scaling up manufacturing in India by way of its contract producers, Foxconn and Wistron, whereas Samsung and different OEMs who’ve been making in India, have already utilized to be thought-about below the PLI-scheme. Efforts by the Indian government coupled with international manufacturers, can turn the country into an export hub in the coming years.
