Smartphone Market: The goal of this decision is to give domestic companies a leg up in the market. The Indian smartphone market is currently the second-largest in the world, but it is dominated by Chinese companies.
Chinese Smartphone Ban In India: Recent reports indicate that Chinese mobile phone companies are the target of significant action in India. The country may ban Chinese phones under Rs 12,000, according to recent reports. Government officials have reportedly made this decision to promote domestic firms like Lava and Micromax, according to a report from Bloomberg. Companies like Xiaomi, Vivo, Oppo, Poco, Redmi, and Realme may take a hit from the government’s decision, but no official word has come from the government or any Chinese companies on the matter yet. Happened already.
Domestic companies are not able to survive before the Chinese company
The goal of the government’s decision is to make domestic companies the dominant players in the entry-level market. India is currently the second-largest smartphone market in the world, but it’s dominated by Chinese brands. Companies in the United States have no chance of surviving in the face of Chinese competitors. One-third of India’s sales for the three-month period ending in June 2022 was accounted for by smartphones priced under $150, according to market research firm Counterpoint. Up to 80% of the shipments have come from Chinese firms
Samsung and Apple will benefit
This government decision will primarily benefit Samsung and Apple. Samsung’s smartphones can be found in a variety of price points, from the high-end to the low-end. For your information, the Income Tax Department has already taken aim at companies like Vivo, Oppo, and Xiaomi. Tax avoidance has also been alleged to be a problem for these firms. Recently, the ED has carried out raids on these companies as well.