Sony Ericsson Starts Producing Cheap Phones In India

It’s easy to understand that the mobile phone business globally is becoming on of price and commodization. It’s almost unavoidable with telecom, so it’s no wonder that more companies are looking to produce phones as inexpensively as possible. In India, not only will the phones be made cheaply, they’ll also be sold the same.

Production in the fast growing Indian mobile phone market will reach 10 million mobile phones by 2009, the five-year-old joint venture between Japanese electronics maker Sony Corp and Swedish telecoms equipment firm Ericsson said in a statement.

Production of 10 million phones would represent around 13 percent of all Sony Ericsson phones sold in 2006.

“In addition to competitive pricing, these phones will offer customized features for the Indian market, such as local content and customized keypads,” Sony Ericsson said in a statement.

Virtually all experts agree that growth in the mobile phone industry is coming from the developing world, so Sony Ericsson is pinning much of their strategy on the vision of cheap phones be used everywhere in the world.

Samsung is currently the fourth largest cell phone maker in the world.

Souce: Reuters