Date: 23/04/2012

ZTE expecting superfast growth in smart phone shipment

The Chinese telecom equipment and mobile phone handset maker ZTE is fully prepared to take on the fast growing smart phone market in every part of the world, more so in emerging and developing regions.

As per the latest news reports, ZTE aims to ship 100 Million smart phones a year in 2015. That's not difficult as per the present scenario. But there are very less chances same condition will prevail in 2015. However in 2012 and 2013 ZTE can be easily estimated to have fast growth in shipment of smart phones.

ZTE is developing a competing phone for Samsung Galaxy Note, a kind of combination of tablet and a smart phone. ZTE's unique strength is low cost offering, and making the profit by volumes.

The low cost advantage ZTE can enjoy as long the China remains low cost manufacturing center and no place emerges as an alternate to China. This status is threatened by rising of Indian phone companies such as Micrmax, Lava and Carbon, who are emerging the way Chinese companies have emerged in last 10/15 years.

Last week Lava has launched Intel processor powered phones in India. Intel is giving strong design support to its mobile device partners. What really matter is ability of Indian companies to compete with ZTE both in performance and cost. It also depends on the cost of semiconductor chip supplied by companies such as Intel in the case of Lava.