Tech

Tata Plans Smartphone Deals with Chinese Brands

"Talks with Xiaomi, Oppo, and Vivo could boost local production, exports, and job creation in India."

Tata Electronics is in discussions with Chinese smartphone brands, including Xiaomi and Oppo, for contract manufacturing. The company, which already manufactures Apple iPhones, aims to locally produce smartphones for these Chinese brands. If the deal is finalized, it could significantly boost smartphone manufacturing in India.

According to an ET report, Tata Electronics is also in talks with Vivo. By manufacturing iPhones alongside smartphones from Oppo, Vivo, and Xiaomi, large-scale exports could become a reality, benefiting India’s economy by creating new job opportunities. However, none of the parties—Tata Electronics, Xiaomi, Vivo, or Oppo—have commented on the matter.

Last month, Vivo announced a joint venture with Dixon Technologies for electronic device manufacturing in India, where Dixon holds a 51% stake. Cybermedia Research reports that Xiaomi relies on contract manufacturers like Bharat FIH, BYD, DBG Technology, and Dixon for its smartphone production.

In terms of market share, Xiaomi, including its sub-brand Poco, held 12% in India by the end of 2024, while Vivo led with 17% and Oppo accounted for 11%. Oppo already operates a manufacturing facility in Noida but faces regulatory challenges due to its Chinese origins. A partnership with Tata Electronics could help it navigate these hurdles.

Tata Sons Chairman N. Chandrasekaran revealed plans to set up nine new factories within the next 24 months, involving an investment of $18 billion. Additionally, last month, ET reported that Tata Electronics had been in talks with Microsoft, Dell, HP, and other tech giants for similar partnerships.

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