Sony Ericsson Sets Up Indian Plant To Capture Large Market

Production capacity will be 10 million by 2009.

Sony Ericsson, through manufacturing agreements with Flextronics and Foxconn, the company's global outsourcing manufacturing partners, will manufacture mobile phones in India.

"Local manufacturing in India will result in improved cost efficiencies and enable us to offer attractive products at even more competitive price points. Sony Ericsson has witnessed encouraging growth in India, enabling us to reach a top 3 position in the GSM handset category in this market, and in line with our overall aim of becoming a top 3 global player in the future," said Miles Flint, president of Sony Ericsson at a press conference on Jan. 31 in Chennai, India.

With a GSM subscriber base of 105.4 million, India is one of the fastest growing mobile markets in the world, and forms a priority growth market for Sony Ericsson worldwide, according to a company statement.

The phones, basic color phones and mid-level music enabled phones, will be distributed locally. Keypads and content will be customized for the Indian market.

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