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Huawei Joins Hands with Micromax Informatics to Give Impetus to Its Offline Sales

The Huawei-Micromax partnership is a win-win for both parties. Again, a word of caution: This partnership is just the first stepping stone

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According to industry experts, the partnership will provide Huawei with potentially new avenues to grow by tapping into the established retail network of Micromax -- probably the first such arrangement between a Chinese and an Indian smartphone brand. Pixabay

Facing heat in the US amid the ongoing Washington-Beijing trade war, Chinese telecommunications giant Huawei has joined hands with the Indian consumer electronics firm Micromax Informatics to give impetus to its offline sales.

According to industry experts, the partnership will provide Huawei with potentially new avenues to grow by tapping into the established retail network of Micromax — probably the first such arrangement between a Chinese and an Indian smartphone brand.

“The Huawei-Micromax partnership is a win-win for both parties. Again, a word of caution: This partnership is just the first stepping stone for Huawei and it would take much more sustained efforts for it to potentially ramp up the market share in this hyper-competitive market,” Prabhu Ram, Head, Industry Intelligence Group (IIG), CMR, told IANS.

The trade ban on the firm impacted its smartphone plans in India as its shipments declined year-on-year (YoY), but the brand continues to be in the top 10 smartphone brands category, according to a new report by Counterpoint Research.

Huawei, Micromax, Sales
Facing heat in the US amid the ongoing Washington-Beijing trade war, Chinese telecommunications giant Huawei has joined hands with the Indian consumer electronics firm Micromax Informatics to give impetus to its offline sales. Pixabay

Huawei and its sub-brand Honor had a combined market share of two per cent in India in Q2, while Micromax had a market share of one per cent.

“It is going to benefit Huawei as it capitalises on Micromax’s retail and distribution network in India. Micromax’s retail network is very strong in the country and Huawei’s presence in the offline market isn’t that strong,” said Anshika Jain, Research Analyst at Counterpoint.

However, according to CMR, both Huawei and Micromax had less than 2 per cent market share in the India market in Q2 2019 and the Micromax-Huawei partnership could be a harbinger of many other such deals for the MILK brands (Micromax, Intex, Lava and Karbonn) that have been battered by their Chinese rivals.

“It could be signalling the herald of ‘MILK-II’ — Indian brands, providing an established retail network for others to leverage. Having missed out on gaining strengths in manufacturing, and getting confined to mere assembly of phones, it is good that Indian brands are now in a position to leverage their retail strengths better,” noted Ram.

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According to Faisal Kawoosa, Founder and Chief Analyst, techARC, the decision to rope in a domestic face could be more of strategic than tactical decision for Huawei.

“This partnership could insulate a vulnerable brand like Huawei, which keeps on facing one or the other issue at a global level,” said Kawoosa. (IANS)

Next Story

Huawei Unveils GT2 Smartwatch With Bluetooth Calling in India

The smartwatch will be available across Flipkart, Amazon India, Croma and other retail stores

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GT2
According to the company, the Huawei Watch GT2 can operate continuously for up to two weeks with both the intelligent heart rate monitor and call notification functions turned on. Wikimedia Commons

Huawei Consumer Business Group India on Thursday launched its much-anticipated Huawei Watch GT2 with two weeks of battery life, Bluetooth calling and in-device music in the country in 42mm variant (with 1.2 inch AMOLED display) and 46mm variant (with 1.39 inch AMOLED display).

The Huawei Watch GT2 46mm Sport (Black) has been launched for Rs 15,990, 46mm (Leather) for Rs 17,990 and 46mm (Metal) for Rs 21,990.

In terms of heart rate monitoring, the user will be notified if heart rate is above 100bpm or below 50bpm for more than 10 minutes. The watch is also powered with sleep monitoring function.

“This versatile smartwatch Huawei Watch GT2 further underlines our focus on health and fitness and help our customers manage it better. The watch scientifically monitors heart rate, physical activities and sleep pattern with help of accurate positioning feature,” Tornado Pan, Country Manager (Huawei Brand), Consumer Business Group, Huawei India, said in a statement.

The watch is equipped with Huawei’s proprietary Kirin A1 chipset to improve battery life. There’s also a super AMOLED display with 3D glass screen.

The chip essentially integrates an advanced Bluetooth processing unit, a powerful audio processing unit, an ultra-low power consumption application processor and a separate power management unit.

GT2
Huawei Consumer Business Group India on Thursday launched its much-anticipated Huawei Watch GT2 with two weeks of battery life, Bluetooth calling and in-device music in the country in 42mm variant. Wikimedia Commons

According to the company, the Huawei Watch GT2 can operate continuously for up to two weeks with both the intelligent heart rate monitor and call notification functions turned on.

The smartwatch will be available across Flipkart, Amazon India, Croma and other retail stores.

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Prospective buyers can book the watch from December 12-18 and get a Huawei Freelace worth Rs 6,999 for free.

However, they will be required to make the full payment for the watch at the time of booking the device. (IANS)