HMD has reaffirmed its commitment to the Indian market, calling it the company's largest in terms of financial contribution and manufacturing strength. The handset maker—known for its Nokia-branded feature phones and smartphones—is now focusing on expanding its HMD-branded portfolio and digital presence in the country.
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Plans to Launch New Affordable 5G Smartphone
"For us, India remains a key focus market as a brand. To meet the specific needs of Indian consumers, we have introduced several devices tailored for this market, including HMD-branded and Nokia devices. We are also preparing to launch a new 5G smartphone priced under Rs 10,000, targeting the high demand for affordable devices in India," said Ravi Kunwar, Vice-President and CEO, HMD India and APAC, in an interaction with ETTelecom.
"India remains our largest market by resources and financial contribution, and we are committed to expanding our operations, partnerships, and product offerings to strengthen our market position in both feature phones and smartphones," he reportedly added.
Retail and Digital Expansion Across India
According to the report, Kunwar said the company is investing in both traditional and modern retail channels to strengthen its market position. HMD is currently present in over 1 lakh mainline retail stores across India and is now significantly working with digital commerce platforms such as Amazon, as well as quick-commerce channels including Blinkit. The brand's e-store is also being scaled up with improved product availability and distribution.
"Our strategy involves working closely with distributors and retailers, offering comprehensive support and incentives, as well as engaging in robust marketing activities to optimize reach and execution, especially ahead of major sales cycles," he reportedly said.
HMD's Strategy
"95 percent of our devices are manufactured in India. Over the past couple of years, we've also started exporting these 'Made in India' devices to other countries. India is not only our manufacturing hub but also the most important market for us from both a business perspective and a growth opportunity standpoint," Kunwar added, as mentioned in the report.
Despite its aggressive push, HMD continues to face stiff competition in India's smartphone segment. The company officially entered the Indian smartphone market under its own brand in Q3 2024 with the launch of the Crest and Crest Max series. However, these devices struggled to gain traction amid intense competition and a crowded value segment, according to the report.
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Global Restructuring
Globally, HMD is also recalibrating its strategy. The company is reportedly scaling back its operations in the US, citing a challenging geopolitical and economic environment. In 2023, HMD signed an agreement with Nokia to wind down the Nokia-branded smartphone business, which it had acquired from Microsoft in 2016. The focus has since shifted to building the HMD brand and exploring white-label manufacturing opportunities.
Feature Phone Dominance
In the feature phone segment, Kunwar said the brand is currently "number one in value and a close number two in volume," making this category a strong performer for the company in India, the report added.
