After Xiaomi and OnePlus, yet another consumer electronics major LeEco, popularly known as LeTV in China, is reportedly planning to set up a domestic base in India.
Without disclosing the amount of investment, LeEco has confirmed that the company will set up an R&D centre in India by this year-end and will also start producing devices locally in the near future.
"We are very interested in this market, and we can build our R&D centre and manufacturing base here. The R&D centre alone, by the end of 2016, could be possibly 1,000 staff strong," PTI quoted Tin Mok, Vice President, Le Holdings Co Ltd, as saying.
He also said that the company is interested in the country's education system and plans to introduce niche products targeting the student population.
The announcement comes just days after LeTV re-branded the company's name to "LeEco" to make it globally appealing.
LeEco's India region specific plan of setting up domestic R&D and manufacturing base seems like a logical move, since the company can gain a lot of sops from the government's "Make in India" initiative. The company will get tax exemption on property and also since the devices are made locally, there will be no custom duty tax. Hence, the devices will be cheaper helping the brand to build a strong consumer loyalty.
It has to be noted that India is now ranked as second biggest mobile market in the world, after China. India recently registered 1 billion plus mobile subscriptions, that's thrice the US user-base.
India's burgeoning market is home to more than 100 mobile phone makers and offers ample opportunities to LeEco and other new comers to make it big in the subcontinent.
OnePlus, Lenovo and Xiaomi are other prominent Chinese firms who have already taken the jump in the "Make in India" initiative and are starting to reap benefits.
LeEco is set to launch a couple of smartphones later this week in India. Going by the series of teasers released so far, the company is certain to launch Le Max. Rumour has it that the device might also accompany a smaller phone Le 1S. [For complete specification details of both the devices, click HERE]
Earlier in the month, LeEco unveiled a smart cycle, VR set and head-phones in India.