Chinese device manufacturer Huawei produced nearly 320,000 smartphones in Argentina’s Tierra del Fuego province over the past year, through an agreement with local firm BGH. The Chinese firm recently signed an agreement with another Argentine manufacturer, Newsan, to assemble smartphones in the same province. The agreement stipulates that the devices will be distributed in the domestic market, where Huawei Argentina aims to sell 1 million of them in 2015.
Huawei has been moving aggressively to take massive market share with its low-priced but relatively full-featured smartphones. The company recently announced a significant investment in India, where the rising middle class has indicated strong demand for its devices. Argentina, which lags behind the region in terms of 4Gs rollout and adoption but is making moves to catch up, is also an excellent prospect for Huawei. Manufacturing the smartphones there is a good way for the company to keep prices down.
The above item appeared in a recent issue of Tarifica's "The Story of The Week", a weekly report that analyzes noteworthy developments in the telecoms industry from around the world. For past issues or to learn more about The Story of The Week or to contact the Tarifica Research department: http://www.tarifica.com/contactus.aspx