Samsung opens world's largest smartphone factory in India to boost production
- Author: Terrell Bush Jul 10, 2018,
Jul 10, 2018, 3:55
India, the world's second biggest smartphone market and home to more than a billion wireless subscribers, is a big opportunity for Samsung where sluggish smartphone earnings growth has fuelled concerns that its mobile business is running out of ideas to underpin sales of its premium Galaxy devices.
According to International Data Corp, India's smartphone market grew 14 percent past year to 124 million units, the fastest rate of growth among the top 20 markets.
In 1997, the plant started manufacturing televisions, and in 2003, expanded to manufacturing refrigerators. The new facility is spread over 35 acres in Noida's Sector 81.
The PM added the number of manufacturing factories in mobiles had gone up to 120 from just two since 2014.
A report in The Korea Times on Sunday said Moon's visit to India and later to Singapore are aimed at advancing his "New Southern Policy" with the two countries seen as key elements of the initiative to diversify Seoul's diplomatic and economic strategies. Modi categorically said that the new plant will help firming up India's position in global market. Out of 120 mobile factories, 50 are in Noida only. The facility will manufacture 1 crore units per month with around 30% of the production will be exported to countries in Middle East and African region.
Announcing the investment past year, the South Korean giant said that it would position the Noida plant as a major production hub and create about 5,000 new jobs.
Earlier, South Korean President Moon, who is on a three-day visit to India, addressed at the India-Korea business forum and visited Gandhi Smriti with Prime Minister Modi.
In his address at the Samsung event, Modi said that development would lend pace to the Make in India programme. He spoke of the expansion of smartphones, broadband and data connectivity, which he described as signs of a digital revolution in India. The company has one design centre in Noida with workforce of over 70,000 people.