Why Samsung is leaving Indian phone market?

We have got a very big news about Samsung a South Korea based tech giant company. Samsung is about to quit Indian phone market very soon.

In this post, we have discussed why and when will Samsung skip Indian phone market in details.

Samsung is a leading smartphone selling brand in India as well as across the world. Samsung smartphones are very good as compare to other China based smartphone brands.

As well as people have more faith in Samsung as compare to China based smartphone brands like Xiaomi, Realme, Oppo, Vivo and Oneplus.

Samsung is getting so much love from Indian smartphone market. More and more people want to own Samsung smartphone due to its built quality, trust, reliability and best after sales customer satisfaction.

But even then Samsung is about to quit Indian feature phone market. Yes guys, Samsung is about to stop manufacturing feature phones in India.

Samsung will continue manufacturing and selling smartphones in India.

Also Read: Samsung A Series vs M Series difference

Why Samsung decided to stop manufacturing Feature phones in India?

Reason 1

Indian govt. is the biggest reason for it. Indian govt. used to give incentive to Samsung for manufacturing feature phones and other smartphones in India based plants.

But now Indian Govt. has decided to stop giving incentive to Samsung on below 15,000 smartphones.

And this decision also sounds good because India wants to promote its own companies in below 15,000 feature phone and smartphone market.

Samsung comes under government’s Production-Linked Incentive (PLI) scheme in which companies got incentive on manufacturing products in India based manufacturing plants.

Now Indian govt. decided to stop the benefits of PLI scheme to Samsung below 15,000 phones including feature phones (button phones) and smartphones (Android).

Reason 2

Second reason to stop manufacturing feature phones in India is that Samsung has noticed a 39% year-on-year downfall in the first quarter of calendar year 2022.

Samsung’s feature phone market is providing only 1% value of its total value but it covers a big volume of its total volume.

So Samsung is earning very less on its feature phone as compare to smartphones. So finally Samsung has decided to stop manufacturing feature phones in India.

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When will Samsung quit basic phones in India?

Samsung has decided to stop manufacturing feature phones in India till the end of this calendar year 2022. So the Samsung will keep on manufacturing new feature phones till Dec 2022.

And it will manufacture is last feature phone in Dec 2022 in India based manufacturing plants.

Will Samsung stop manufacturing smartphones below 15K in India?

As Indian govt. has decided to excluded Samsung from its PLI incentive scheme for all phones under 15,000. So there is possibility that Samsung will make very less smartphones under 15K as Samsung will get less profit on this category.

Samsung will keep more focus on smartphones more than 15K. It will also keep on manufacturing smartphones below 15K for Indian market in India based manufacturing plants.

But Samsung will earn less profit on below 15K smartphones and to generate more revenue on below 15K smartphones, Samsung will try to increase price and will left behind in the competition in this range smartphones.

So it will discourage Samsung to concentrate on below 15K smartphone market.

Also Read: Samsung mobile secret codes pdf

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