Tuesday 5 April 2011

LG fires first salvo in smartphone war

NEW DELHI: LG India on Tuesday made first move in the top-end smartphone market in India, announcing its flagship Android phone Optimus X2. Powered by Nvidia's Tegra 2, Nvidia's dual-core processor, Optimus 2X is likely to be India's first dual-core processor phone when it becomes available around third week of April.

Siddharth Neri, an analyst who tracks cellphone market for CyberMedia Research, said that with the launch of 3G services, demand for smartphones is likely to go up. LG may have been first to announce the dual-core phone, often dubbed superphones for their ability to perform several tasks that earlier required a laptop or computer, but its competitors are not sitting idle. Sources said Sony Ericsson might launch a couple of flagship phones this week.Samsung officials said that the company would bring its flagship Android phones to India on April 13.

In 2010, smartphones made up for around 3.6% of total shipment. In 2011, it is likely to reach 5.7%, said Neri. LG claimed the India launch coincides with the global launch of Optimus X2. It also said that Optimus Black, a sleek smartphone with premium design, would be available in India after May 15.

"We hope to set a trend with Optimus 2X launch. When J S Park, LG's global head for cellphone unit, visited India in January, we discussed how we can bring latest products to India without any delays. With X2 we are putting our plan into the practice. Our research shows there is a lot of anticipation and demand for latest smartphones and we hope to satisfy it," said Vishal Chopra, business head of mobile division at LG India.

According to Gfk-Nielsen, a market research firm, LG had 7.9% share in cellphone in India last year. "We hope to increase it to 10% by the end of this year. We also hope that this year, 20% of our mobile revenue will come from smartphones," said Chopra. 

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