Samsung has announced the launch of the World’s Largest Mobile Manufacturing unit in India. The new factory is spread across 35-acres at Sector 81 in Noida, Uttar Pradesh. The new facility is set up right next to the existing mobile phone manufacturing unit that was set up in 2005. Indian Prime Minister Narender Modi and South Korean President Moon Jae-in will be inaugurating the new Samsung Electronics Facility.
According to Tarun Pathak, Associate Director at Counterpoint Research, the new facility gives Samsung an advantage by reducing the time to market.
“This will help Samsung bring some local features to the devices powered by R&D here. Apart from this, the company can also bring in export opportunity for Samsung to SAARC and other regions”
, Pathak told IANS.
The current manufacturing unit produces 67 million smartphones in India. With the launch of the new manufacturing unit, the company is expected to double the number of smartphones produced in India, with an estimated 120 million phones.
The Korean Super Giant not only plans on producing smartphones in the new unit but also produce consumer electronics such as Flat Television panels and refrigerators. Samsung had announced a Rs. 4915 crore investment last year in the month of June, for the expansion of the current facility.
“For Samsung, India is among the top five smartphone markets globally. The US is saturated, and Korea and Brazil are not growing significantly. India is a big opportunity across price segments, including 2G feature phones. It makes sense for Samsung to build a bigger manufacturing base here. They are now looking at building a complete ecosystem. After smartphones, they can go into building top-of-the-line products in other categories like TVs, refrigerators as advanced manufacturing in India still lags behind. With the new facility, Samsung is going to have an edge over its rivals”
, Jaipal Singh, Senior Market Analyst, IDC, told IANS.