Spice Mobility and Transsion Holdings today formed a joint venture to relaunch the spice mobile brand in India. Transsion Holdings is a Chinese smartphone manufacturer and also owns various other brands such as Itel, Infinix and TECNO. The Chinese company will now own a majority stake in the company Spice Mobile. The partnership aims to revitalise the Spice brand and return the company to a flourishing state.
“We are excited to announce our partnership with the Spice Group and it is a matter of great pride for us to actively contribute to the growing mobile phone ecosystem in the country. With Transsion’s success in India over the past year, this JV is a win-win situation for both the groups. We will be exploring various strategic opportunities by building on each other’s strengths such as wide distribution strength, understanding of the Indian consumer and a comprehensive portfolio of quality products. Our aim is to translate the company’s global success by designing easy to use products that cater to the local consumer preferences and social milieu,” said Mr. Lin Qin, Vice-President, Transsion Holdings
Spice Mobile under Transsion will now focus on providing rich digital experience to the younger generation. Mr. Lin Qin also said that India is one of their top priority as a market.
“We are absolutely delighted to partner with Transsion Holdings. As a strategic partner, we believe this combines Spice’s legacy strength and Transsion’s global leadership to bring a whole new mobility experience to our consumers. This JV is a commitment towards furthering digital inclusion in India, assuring high quality products and services to one and all, thus democratizing innovation and technology. We are sure that by leveraging each other’s strengths, we will make a significant contribution to the emerging Indian technology market,” said Mr. Dilip Modi, Executive Chairman, Spice Mobility
Under the new Joint Venture, Spice Mobile will be launching a total of 10 models this year which will include both smartphones and feature phones. The company also commented that they will be pricing these phones between Rs. 600 and Rs. 8,000 thus entering into the highly competitive market of sub Rs. 10,000 phones. Whether the rejuvenated brand manages to get a footing in this segment remains to be seen, given that the segment is dominated by the likes of Micromax, Lava, Intex and now even Xiaomi.
The new Joint Venture also stated that all the new phones being launched will be ‘Made in India.’ Trannsion Holdings also hopes to make India a hub for manufacturing and exporting smartphones to Africa which is Transsion Holdings biggest market. Though neither companies have shared the exact details regarding the shares in the joint venture, we were able to confirm from a source that Trannsion Holdings does now own a majority stake in Spice Mobile.