According to sources, Google’s collaboration with Foxconn complements its plan to manufacture Pixel smartphones at the Dixon facility.
Google is set to partner with Foxconn to produce its ultra-premium Pixel smartphones for the first time in Tamil Nadu, Chief Minister M K Stalin announced on Thursday. This collaboration with Foxconn is in addition to Google’s plan to manufacture Pixel smartphones at the Dixon facility. Stalin revealed that Google has agreed to establish a factory in Tamil Nadu as part of the negotiations to produce Pixel phones.
In addition to domestic production, sources indicate that Google will also export smartphones from India. Under an arrangement with Compal Electronics, Dixon will produce Pixel smartphones, another source stated anonymously. Production is scheduled to begin in September, with exports commencing once the production stabilizes, according to the same source.
Google had previously announced its intentions to manufacture Pixel smartphones in India in October. According to Counterpoint Research, Google Pixel’s market share in India was estimated at 0.04 per cent during the March 2024 quarter. Neil Shah, VP of Research at Counterpoint Research, anticipates a healthy annual growth of 30 per cent for Google in 2024. This growth is attributed to Google’s strategy of manufacturing its entire series domestically, saving on import duties and selling more cost-effectively, as well as the increasing trend of premiumization in the smartphone market.
Cybermedia Research reports that Google Pixel holds less than one percent market share in India. Prabhu Ram, Head of the Industry Intelligence Group at CyberMedia Research, commented that Google is recognizing India’s appeal as both a domestic market and a potential global export hub. As the premiumization trend gains momentum in the smartphone market, Google’s move to manufacture Pixels in India is timely. However, beyond manufacturing, Google will need to enhance its marketing efforts and post-sales support, including a robust service network. By addressing these factors, Google could replicate the success of other smartphone giants in India.
