According to industry sources, Sony Mobile Communications will teamed up with Foxconn, and other Taiwanese manufactures to venture into the sub-US$200 smartphone segment. The vendor has launched its entry-level Android phone Xperia Tipo outsourced to Foxconn, with other comparable models manufactured by Arima and Compal to be rolled out in the first half of 2013. While Sony expects shipments of each entry-level smartphone to reach several million units, sources at Taiwan-based ODMs indicated that shipment volumes for each model may be lower than expected due to over diversified product lineups and marketing efforts …
Sony Mobile has launched over 10 models of its Xperia lineup so far in 2012 targeting medium-range to high-end segments, and the launch of sub-US$200 models aims to tap the entry-level segment. Sony Mobile shipped 7.4 million smartphones in the second quarter of 2012 and has seen its share in the US and China continue to decline, and the company is not doing so well in their home-ground market. Sony Mobile currently accounts for only 8 percent of the smartphone market in Japan, trailing after Sharp, Panasonic, Fujitsu and NEC.
China’s smartphone market is expected to serve as a promising place for the newly formed Sony Mobile Communications despite growing competition. Sony Ericsson was renamed Sony Mobile Communications after the Japanese entertainment giant Sony Corp finalized its divorce with Swedish mobile network giant Ericsson in February. The business is extremely competitive in the Chinese market, with both domestic and overseas smartphone makers battling for a bigger slice of the promising market. Phones sold at 1,000-2,000 yuan (US$156-US$312) have most of the market share in China, local phone makers have the biggest advantages in this price range. International brand need to have cheaper smartphones in order to compete in China.
MORE coverage: Sony Mobile expects more growth in China despite stiff competition
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