Samsung pivots to India with "world's largest mobile factory"
Samsung has opened the “world’s largest mobile factory” in Noida, Uttar Pradesh, India on Monday, veering away from Chinese investment, the company announced in a press release Monday.
The details: The South Korean giant will nearly double capacity for cell phones from 68 million a year to 120 million. Expansion is expected to be completed by 2020.
Our thought bubble: Expanding investment in India is nothing new for Samsung, or other tech companies like Apple, says Axios’ Ina Fried. It’s not like India is a global manufacturing hub; rather, the investment in India is a requirement to sell smartphones people there can actually afford. Phones made outside India are subject to big tariffs.
Per Bloomberg: “Last year, India overtook the U.S. to become the world’s second-largest smartphone market after China. There will be 780 million connected smartphones in 2021, compared with 359 million in 2016, according to a study by Cisco Systems.”