Chinese smartphone maker Vivo Mobiles inaugurated its first assembly plant in Greater Noida, India. The smartphone company is taking these steps to walk in line with the PM Narendra Modi's Made In India and Digital India initiative, and strengthen Indo-China business relationships. The new facility has a production capacity of million units, but the company currently plans to make 1.5Lac units of devices and push the production in future when the Vivo's domestic demands increase.
At the inauguration event of Vivo's facility in India, the company's CEO for India, Alex Flex said that "India has the potential and is a very important market for Vivo." Speaking of their future plans, Fleng added that "We don't want to make quick money and then vanish from the market. We are here for a long term and don't want to rush into things. We are taking every step here as per our strategy for the country."
Vivo has started the local production of the Y11, the Y21 and the Y15S smartphones for now, and sooner or later plans to assemble all of its smartphones launched in India. This new assembly unit will add 2,200 new jobs, and the company has already employed about 700 employees to work on this plant. It has invested Rs 123 Crores as it first phase of investment in this plant.
Speaking about whether the domestic production will help the company in cutting down the price of their products in India, Fleng added that "Custom adds 13.8% taxes on products imported to India. By producing products domestically, the company will leverage benefits in taxes and would be able to cut down the cost by 5-10%."
The company currently sells its phones via offline channels in India and does not have plans to take the online route anytime soon. As far as its plans regarding foraying into the wearable category are concerned, Fleng said that "We are a smartphone company and want to continue to focus on the smartphone business. There are no immediate plans of getting into the wearable segment."
GizBot went to the company's newly set up manufacturing unit and saw the process of assembly of devices. We post some of the pictures, to take you on a virtual tour of the factory:
Vivo Factory in Greater Noida
The factory is set up on an area of 30,000sq meters, and has a working capacity of 2,200 employees.
CEO, Vivo India
Vivo India's CEO Alex Fleng inaugurated the manufacturing unit in Greater Noida, India.
The assembly of units happens here. The components are checked before begin used.
All components of the phone are shipped from China. This is the back panel of the phone being tested and approved for further processing.
Along with the rear panel, the front panel with display of the phone also passes through the quality check test.
Chips on PCB
Various chips and electronic components are put together on the PCB.
Once the components are tested, these are put together inside the body.
The testing of display and assembling of components happen under closed segment to avoid dirt components to settle on the innards of devices.
Once all the components are fitted inside the phone, the phone is moved for next process of audio checks and quality checks.
Design and Build check:
The phones go through another round of quality check.
The last leg of checking is essentially the performance test of the phone. Once the phone clears this it is moved to the boxing process.
While the phone is being tested, another set of team works on the accessories and other things that have to be packed in retail box.
The phone and its peripherals are being placed inside the boxes. The boxes are carefully packed and sealed.
The units are now ready to go to market and being retailed via offline channels.