JioPhone: Feature phones will continue to rule the Indian market in 2017

Key highlights:

• Conversion from feature phones to smartphones to slow down in 2017
• Launch of JioPhone feature phone with 4G to make the difference
• Other manufacturers join in the fray to launch 4G feature phones

While a bleak picture of the feature phone market was once predicted in India with the growth of cheaper smartphones, with the arrival of 4G feature phones with the launch of JioPhone by Reliance Jio it now seems to have got a second life in the market. This comes after the re-launch of the Nokia 3310 a few months earlier after HMD Global acquired the rights to sell Nokia phones.

India saw 4G (LTE) handsets base cross 150 million in Q2 2017 for the first time. The next 150 million users are estimated to be sold in half that time as 4G VoLTE feature phones will be bringing 4G phones to a much lower price points, according to a recent Counterpoint Research report.

The 145 million feature phone market in India that Nokia can target with 3310