Samsung is planning to gradually exit the feature phone market in India to focus on its smartphone business, people familiar with the matter said.
According to a report in The Times of India, Samsung has informed its channel partners that it will exit the feature phone market in India in the coming months or by the end of this year.
It is reported that Samsung is one of the applicants for India's Production Linked Incentive (PLI) program, and must produce mobile phones with an ex-factory price higher than 15,000 Indian rupees (about 1,302 yuan) to be eligible for subsidies.
The report pointed out that another reason for Samsung's exit from the Indian feature phone market may be its declining market share. Data from market research firm Counterpoint Research showed that due to supply problems, high inventory levels and weak consumer demand caused by inflation, India's feature phone shipments fell 39% year-on-year in the first quarter of 2022. Samsung, which has always been the leader in the market, fell to third place with a 12% share, behind Itel (21%) and Lava (20%).
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