Lenovo
announced today that it will make smartphones for its own brand and
for Motorola Mobility in India, out of its manufacturing plant
in Sriperumbudur, Chennai. Moto
E units
are already rolling out of the Chennai plant, while Lenovo has stated
that its K3 Note will follow soon. The plant presently has a 6
million units manufacturing capacity, with Lenovo projecting a target
of 14 million units manufacturing capacity for the next fiscal year.
The
plant will house separate manufacturing lines for Motorola and Lenovo
devices, and will have 1,500 employees for manufacturing, testing and
assembly lines. The companies have stated “huge success” in India
as the reason to decide on manufacturing in the country. Previously,
Lenovo had PC manufacturing plants in the country, and hopes to see
similar success with its cellphones too.
Chen
Xudong,
President MBG group and Chairman of Motorola Mobility Operating
Board, stated via the official press release, “Lenovo is not new to
manufacturing in India. We recognised the potential of India and
invested in PC manufacturing several years ago.
We are excited to
expand our presence, and tap into India’s competent talent pool
that will enable us to develop cutting-edge products for our
customers across the world.” Alongside
manufacturing, supply chain operation and back-end services
integration are also under way. Amar
Babu,
Chairman of Lenovo India and COO of Lenovo Asia-Pacific, stated that
manufacturing locally in India will not result in online-only
cellphones like the Lenovo
K3 Note to
be brought to offline retail stores. Distribution strategies are
presently being discussed, but as of now, the cellphones will be sold
and distributed using the existing system only.
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