Microsoft To Slash Lumia Prices In India

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Microsoft’s recent acquisition of Nokia’s mobile business has spelled good news for India. The software giant is to cut Lumia prices in the country, possibly altering the dynamics of the fast-growing Smartphone segment in the world. The decision may also put the leading brands like Samsung, Micromax and others in the tight spot, reports Economic Times.




The deal will empower Microsoft to become a hardware-software-services player, which the company trying hard to get to. It will also help the company to take on its aggressive global and local rivals, say analysts and industry executives.  They added that only 10 percent of 870 million mobile users use Smartphones in India, so it could be the key market for Redmond based company.  


There are some speculations from the analysts that Microsoft may focus exclusively on Smartphones, and exit the feature phone segment all together, which currently accounts for more than 90 percent of India's handsets.

This sounds like Microsoft will give tough competition to even local players like Micromax, Karbonn and LAVA, along with Samsung, which leads the mobile market in India.  


Nokia 520 costs about Rs 9,200 in India while domestic handset makers sell Smartphones with similar specifications at around at Rs 3,500. Samsung prices its entry-level Smartphone at around Rs 5,000. With the price slashes, Lumia sets may hover close by 5,000 which could stir up the market and force its competitors to retaliate.

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