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Time of India
26-05-2025
- Business
- Time of India
'Pre-activated smartphones sale on online platforms erode consumer trust'
NEW DELHI: Several retailers and smartphone brands have lashed out at Amazon and Flipkart , alleging that the e-commerce platforms are not proactively stopping 'pre-activated' handsets from being sold as new devices, with the ecosystem losing consumers' trust. Dubious sellers have mushroomed on Amazon and Flipkart due to a disconnect between e-commerce firms and smartphone brands for seller verification, as well as relaxed sign-up and registration processes, according to industry executives and analysts. The issue, although not new, has flared up recently with the All India Mobile Retailers Association (AIMRA) saying that it has received complaints from Indian traders and multiple consumers who found that their newly purchased devices including Realme smartphones were preactivated before the date of invoicing. The Delhi-based association represents more than 1 lakh mainline retailers nationwide. 'The issue (pre-activated device sales) is prevalent across all brands but we have specifically received complaints against Realme-branded smartphones,' AIMRA founder and chairman, Kailash Lakhyani, told ETTelecom. The alleged unauthorised entities leverage consumer trust in the e-commerce platforms to sell pre-activated handsets as new units. The buyers of such devices, in turn, neither receive after-sales support nor complete warranty tenure from the e-commerce platforms or smartphone makers. Amazon and Flipkart have over 700 million users in India. ETTelecom has accessed documents which show that 68 of the 99 Realme smartphones purchased by Super Group, a Rajasthan-based trader, were either pre-activated or used before the invoicing date. Both Amazon and Flipkart did not respond to ETTelecom's queries despite reminders. Korean Samsung , and Chinese Xiaomi , Vivo and Oppo declined to comment. 'The sale of pre-activated devices or used devices is purely a 'point of sale' issue on the online platform(s) involving third-party sellers, who may be unauthorised or unscrupulous elements. This not only impacts consumers but also affects the goodwill and reputation of brands like Realme. The issue remains an industry-wide concern,' a Realme spokesperson told ETTelecom. "Pre-activated devices are never sold by Realme, and we encourage the end-customers to buy the mobile devices from authorised channel partners only and verify the International Mobile Equipment Identity (IMEI) before making a purchase."The Realme spokesperson further said. IMEI is a unique 15-digit code that identifies a mobile device, and the first eight digits of are called the Type Allocation Code (TAC), which identifies the device's manufacturer and model. Counterpoint Research estimates that e-commerce has become one of the largest retail channels for smartphones, accounting for nearly 44% of the overall handsets sold in India per quarter. Prabhu Ram, vice president (industry research group), CyberMedia Research (CMR), said the sales of pre-activated smartphones through e-commerce websites erode consumer trust in sellers, indirectly impacting mainline sellers. 'For ecommerce players, proactive seller vetting and transparent governance are essential to mitigate regulatory risk and sustain long-term consumer confidence,' he said. Sellers unauthorised by brands On their part, the leading smartphone brands including Samsung, Oppo and Realme, have been running social media campaigns to drive awareness against unauthorised sellers. For instance, Samsung counts Clicktech Retail, STPL Exclusive, Darshita Etel, TrueCom Retail, Mythanglory Retail, BTPLD, Flashstar Commerce, among others as its brand-authorised sellers for smartphones, while Xiaomi India has named Darshita Mobiles, Green Mobiles, Mythanglory and Akshnav as its brand-authorised sellers for smartphones, and Realme's brand-authorised smartphone sellers include Darshita Etel, BTPL, Patpritrade, Supercom, TAMS, Clientero, MPS, Srasra, Truene MPD, Sthenios Ecommerce, Grahgoods, Xonight and Visionstar. ETTelecom's review of sellers on both e-commerce websites showed that brand-unauthorised entities continue to sell popular smartphones. Smartphone industry executives blamed e-commerce players for selling pre-activated or used handsets, arguing that original equipment manufacturers (OEMs) undertake effective measures, including running awareness campaigns. The OEMs, according to the executives, also cannot vouch for the genuineness and authenticity of products sold by brand-unauthorised or unscrupulous sellers. This, in turn, financially impacts the brands in certain cases when they have to support customer(s) with replacement or refund due to no fault of theirs. 'Solving the problem will require more robust verification and due diligence with a mix of technology, such as artificial intelligence (AI), to look at (selling) patterns as well as random physical checks. Closer collaboration with brands to register sellers at both e-commerce platforms and with brands as well will drive two-factor authentication, supported with a "verified" badge and open history of customer satisfaction,' said Neil Shah, vice president, Counterpoint Research. Ajay Sharma, an advisor to Techarc, said that the e-commerce platforms need to certify sellers based on back-to-back certification from brands to ensure that the products being sold are new.
Time of India
20-05-2025
- Business
- Time of India
Tatas' Hosur plant starts assembling Apple's iPhones
Tata Electronics has started assembling iPhone models including iPhone 16 and iPhone 16e at its Hosur facility, a move that may help it emerge as a mainstream smartphone supply chain player — an area dominated by Taiwanese firms like Foxconn , experts said. The electronics arm of the Tata Group has opened a new unit at the facility to begin mobile phone assembly, people aware of the developments told ET. So far, the company has been making enclosures for the iPhone at Hosur. "Earlier, Tata Electronics was doing assembly at their Wistron facility in Karnataka," one of the sources said. "A few months back, they started assembly at a new plant at their Hosur campus where they launched around two lines and are looking to ramp it up to at least four more lines in some time." Each line, this person said, can employ upwards of 2,500 people as it involves end-to-end assembly. Once this new assembly unit in Hosur reaches its full capacity, it will be larger than the operations at the Wistron plant, he said. Tata Electronics has been scaling expeditiously and has acquired the Indian arms of other Apple suppliers - Wistron and Pegatron . Queries sent to Apple and Tata Electronics remained unanswered as of press time Monday. "For Tata Electronics, getting into full scale assembly can be a strategic step as it provides a springboard for opportunities to tie up with other supply chain companies and is critical to add more value addition in the country," Tarun Pathak, research director at Counterpoint Research said. The development will benefit Apple as well, experts told ET. "For Apple, which has been nudging its suppliers to diversify beyond China, this strengthens its India play," said Prabhu Ram, vice president, industry research group, at CyberMedia Research. "With Foxconn and Tata Electronics rapidly scaling and gaining operational maturity, Apple is well-positioned to mitigate supply chain risk while accelerating production for both export and domestic markets." As Apple looks to deepen its footprint in India and reduce its reliance on China, the presence of two strong, mature suppliers will be instrumental in enabling that growth, he said. "As Tata Electronics deepens its engagement with Apple, it is well-positioned to build credibility and scale within the global electronics value chain-marking a pivotal step toward establishing itself as a competitive, end-to-end manufacturing partner," Ram added. Tata Electronics has also been rapidly scaling up its production of enclosures for Apple's iPhones out of its Hosur unit. ET had reported on May 12 that the company was looking to double its existing capacity of around 50,000 enclosures. The company had achieved a capacity of about 50,000 enclosures before the fire that took place at the unit in September last year, which forced it to press pause on its expansion.
Hans India
06-05-2025
- Business
- Hans India
Affordable 5G phones cross 100 pc growth in India, Apple shines in premium segment
Led by affordable devices, 5G smartphone shipments accounted for 86 per cent of the overall Indian market in the January-March quarter, marking a 14 per cent annual increase, according to a new report. Notably, 5G smartphones priced between Rs 8,000 and Rs 13,000 recorded over 100 per cent YoY growth, reflecting surging demand for affordable 5G access, said the report by CyberMedia Research (CMR). Vivo led the 5G smartphone market with a 21 per cent market share, followed by Samsung at 19 per cent. The premium segment continued to grow, buoyed by strong demand for 5G-enabled and AI-ready smartphones, said the report. 'The Rs 10,000 and lower 5G smartphone segment witnessed over 500 per cent YoY growth in Q1 2025. This reflects strong consumer appetite for affordable 5G smartphones,' said Menka Kumari, senior analyst at CMR. Brands such as Xiaomi, POCO, Motorola and Realme are leading this surge, she mentioned. While the affordable smartphone segment grew a modest 3 per cent YoY, the value-for-money segment declined by 6 per cent, reflecting a continued shift toward premium smartphones. Apple posted a 25 per cent growth YoY, and captured an 8 per cent market share, driven by strong demand for premium smartphones and a broader retail presence in India. The iPhone 16 series, including the iPhone 16e, significantly contributed to this growth, with Apple's market share in the super-premium segment rising 28 per cent YoY and the uber-premium segment (Rs 1,00,000 and above) up 15 per cent, the report mentioned. In 2025, CMR anticipates the Indian smartphone market to witness moderate growth, with shipments growing in single digits. 'In the quarters ahead, India's smartphone market will be shaped by three converging forces: the mainstreaming of affordable 5G, the rapid infusion of on-device AI, and the growing acceleration for supply chain localisation,' said Prabhu Ram, VP at CyberMedia Research (CMR). As the premium segment accelerates on the back of AI integration, brands that fail to evolve beyond price-based competition in the value-for-money segment will face margin and relevance pressures. 'Concurrently, affordable 5G is a growing baseline expectation, amidst intensifying competition. With geopolitical shifts accelerating local manufacturing, India is poised to become both a key market and a critical node in the global smartphone value chain,' Ram added.
Time of India
06-05-2025
- Business
- Time of India
Apple supplier Jabil eyeing more AirPods casing from India plants
Apple supplier Jabil is planning to significantly boost sourcing of AirPods enclosures from India by tapping its planned second facility in the country, said multiple people aware of the developments. The move reflects a broader push by Apple to diversify its supplier base from China amid global tariff-related uncertainties and the ongoing Washington-Beijing trade war. Jabil, which currently makes plastic bodies or casings for AirPods at its Pune plant, is considering using the Tiruchirappalli (Trichy) factory in Tamil Nadu to expand AirPods production, the people said. "Jabil is considering Trichy as an AirPods production option," said one of the persons cited above. "They are expected to get back to the state government on their final plan by the end of June or July." The person added that the US company's executives met Tamil Nadu chief minister MK Stalin in Chennai last month, after which they visited Trichy where construction is yet to begin for the proposed facility. "Jabil, like other Apple suppliers, is looking to strengthen their manufacturing footprint in India," a second person said. "They see value in being able to double down on their production capabilities for Apple in India." "AirPods component production is a fairly new category in India and one that is expected to gain more significance in the near future and companies like Jabil are hoping to be ahead of the curve," the person said. Jabil and Apple did not respond to ET's queries. Jabil's plan to boost India production follows reports that Foxconn 's Hyderabad facility has started AirPods assembly for exports. This signals that Apple is strategically expanding its manufacturing base in India to reduce its reliance on China and diversify its global supply chain, experts noted. Apple, on its part, has made significant investments in India through their partners Foxconn and Tata Group, particular for iPhone manufacturing. "In the overarching context of ongoing supply chain realignments and geopolitical uncertainties, India has been a key node for Apple's AirPods ambitions," said Prabhu Ram, vice president - industry research group at CyberMedia Research. "Jabil's Indian operations already supply critical casings for AirPods assembly in China and Vietnam. With the potential expansion moves in Trichy, India is slowly getting its end-to-end Apple manufacturing ecosystem together, from assembly to components." Jabil announced on September 10 last year that it had signed a Memorandum of Understanding (MoU) with the Tamil Nadu government for its manufacturing plan in Trichy. The signing, which took place in Chicago, was attended by the state's chief minister M K Stalin, and industries minister T R B Rajaa.
NDTV
01-05-2025
- Business
- NDTV
Apple Clocks 28% Growth In iPhone Shipments In India: Report
New Delhi: Apple registered 28 per cent growth in iPhone shipments in India (year-on-year) in the first quarter this year (January-March period), industry data showed on Thursday. iPhone 16 series was the highest-selling Apple device, capturing 54 per cent market share, with iPhone 15 series garnering 36 per cent share in Q1 2025, according to data provided by said the report by CyberMedia Research (CMR). Apple iPads saw 18 per cent annual growth in Q1 2025 compared to the year-ago period. In the entire 2025, iPhones are likely to garner 11 per cent share in the Indian smartphone market, with iPads clocking 33 per cent, the data projected, as the tech giant doubles down on local manufacturing. Apple maintained its strong growth momentum in India, recording double-digit year-on-year growth and its highest-ever quarterly shipments in Q1. The iPhone 16 series, led by the more accessible iPhone 16e, was the key growth driver. "With nearly three million units shipped in Q1 2025 alone, Apple achieved its strongest first-quarter performance in the Indian market to date," said Prabhu Ram, VP-Industry Research Group (IRG), CMR. As supply chain realignments gather pace, India is emerging as a critical hub for iPhone production in the coming years. Ram said Apple is well-positioned to sustain this momentum - not only through expanded local manufacturing of iPhones and other products but also through increased investment in its retail footprint, with more Apple-owned and operated stores set to launch. In parallel, Apple is tapping into India's skilled talent pool to support its broader initiatives across retail, artificial intelligence, and machine learning. The country is now achieving 'Make in India' at a global scale, as reports suggest that tech giant Apple may shift the entire assembly of iPhones meant for the US to India by next year. This would be a major step in Apple's global manufacturing strategy as the company looks to reduce its dependence on China. Meanwhile, Apple's contract manufacturers in India are already scaling up their operations. Foxconn's new plant in Bengaluru is expected to become operational this month and could produce up to 20 million iPhones at full capacity. In the past year, iPhones worth $22 billion were assembled in India, with Tamil Nadu-based Foxconn contributing nearly 50 per cent of Apple's exports.
