Pixel 8 Pro units to roll off Indian assembly lines starting next quarter

Pixel 8 Pro units to roll off Indian assembly lines starting next quarter،

Looking to diversify its supply chain outside of China, Google has told its suppliers that it wants to start building its Pixel phones in India as early as next quarter. In addition to moving some of its production out of China, Google hopes that by building more Pixel units in India, it can sell more phones in the country, the world's second-largest smartphone market behind China and ahead of the United States. –United.

According to Nikkei Asiaa person with direct knowledge of Google's plans says: “Google reached a major milestone last year for its Pixel phones and set an ambitious goal of [shipping] 10 million more units in 2024.” IDC data shows that the Indian smartphone market grew 1% last year to 146 million units, which includes a much stronger growth rate of 11% for the second half.

The first step Google will take in trying to move Pixel production to India is to prepare its production lines in South India to build the Pixel 8 Pro. In the second quarter of this year, Google will start production of the high-end phone in these Indian factories. By mid-year, Pixel 8s will be assembled in factories in northern India.

Starting next quarter, Google will build Pixel 8 Pro units in India

Google already has production facilities in Vietnam that produce Pixel handsets, and even with the small number of units that will be produced in India, the company will be on track to meet its goal of pulling out a significant amount of Pixel production from China. One of Nikkei Asia's sources said: “Google is not the only technology company that has started pursuing a 'China+2' strategy.” This means that diversifying away from China to another country is not enough, but suppliers should have several options outside of China. for better supply chain resilience.

Apple has already produced some iPhone models in India and as a result, some component and assembly suppliers have opened stores in the country. By selling locally made phones in India, manufacturers avoid having to add an import tax to the price of their phones, which could put them out of reach for consumers in the developing market.

Eddie Han, research director of Isaiah Research, told Nikkei Asia: “Google's decision to move part of its Pixel phone production to Vietnam was driven by the US-China trade war. As for expanding to manufacturing in India, we believe the company also takes into account the country's investment incentives, import tariff policies, as well as its huge domestic market.