Sony mobiles from Chennai

Sony Ericsson president Miles Flint announcing plans of his company
at a press conference today. Also seen is Union Minister Dayanidhi Maran.

Sony Ericsson would produce mobile handsets by outsourcing manufacturing to its global partners ? Flextronics and Foxconn, which have set up their facilities in Sriperumbudur, a city suburb.

This meant the company would provide the design work to both the contractors which would manufacture the handsets as per the requirements of Sony Ericsson. The company had set a target of 10 million units by 2009 from Chennai operations.

Since it began operations in India four years ago, the joint venture between Sony and Ericsson imported their handsets for the domestic market. ‘We are focused on creating an aspirational brand in India with a build up of world-class product portfolio and through a demand driven supply-chain,’ said Miles Flint, president, Sony Ericsson Mobile Communications AB.

Announcing the plan to start production by April – May 2007, Flint said the company had undertaken an expansion of its existing relationship with these two global partners who have been working with Sony Ericssson in China, Malaysia, Mexico, Brazil and now firmed up plans for a similar tie-up in Chennai.

He said company sales tripled in India for last year and Sony Ericsson was the top three GSM players in mobile telephony in the domestic market. Moreover, he said both Flextronics and Foxconn had set up facilities in Chennai as they were attracted by the favourable telecom policy of the Union government. From just 3 per cent share in GSM (Global System for Mobile) market in 2003, the company had now got a market share of 9 per cent with robust sales growth, he said.

In his special address, Union Minister of communications Dayanidhi Maran said it was a matter of pride that top five handset makers have set up facilities in India ? Nokia, LG Electronics, Samsung, Motorola, and now Sony Ericcsion.

‘The efforts of Department of Telecom to encourage manufacturers in India has taken full shape,’ he said and added seven million new subscribers were being added each month in the country.

As of now, telecom base had touched 200 million and was poised to reach the target of 250 million by the end of this year, he informed. Also, the teledensity was expected to improve to 23 per cent by the end of this year from the present 18 per cent.