Motorola, part of Chinese electronics major Lenovo which bought the company from Google, sells phones in India only through Flipkart. The company is looking at a larger play through its 'E', 'G' and 'X' range of devices, while also eyeing orders for 4G phones from Mukesh Ambani's 4G venture, Reliance Jio Infocomm.
"India is one of the biggest markets for Motorola globally, and also among the fastest-growing. We have started evaluating on whether it makes sense to make in India," Marcus Frost, senior marketing director for Motorola Mobility's Europe, the Middle East and Africa (EMEA) as well as Asia-Pacific (APAC) regions, told TOI here.
Frost said he is aware of the government's 'Make in India' initiative as well as the benefits that local manufacturing gives against imports. "Going through the Chennai factory, or through a contract-manufacturing route, is something that is part of the evaluation."
Manufacturing in India now is cheaper by 11% compared to imports, considering incentives for local manufacturing offered by the government. The step has prompted a variety of companies, such as Japan's Sony and China's Xiaomi, to look at sourcing from the country. Foxconn, the Taiwanese behemoth that manufactures devices for a range of companies, is in the process of setting up factories in India.
Motorola had decided to indefinitely suspend manufacturing at its Chennai factory around 2013 as part of global production re-alignments after it was acquired by Google. The factory, which was also exporting devices, had been set up at a cost of nearly Rs 170 crore and employed around 80 people.
Sources said that officials from Lenovo India are also looking into the issue, though Frost did not confirm this. However, he said that the two companies can look at "striking synergies" going forward.
Motorola, which had sold over three million units in the country till last year, also unveiled the third-generation of its popular Moto G device priced at Rs 11,999 (8GB) and Rs 12,999 (16GB).
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