Computer and Smartphone Markets in India and China Targeted by Manufacturers/Domestic Manufacturing and Investment Grow

By the end of 2016, the International Telecommunications Union (ITU) reported that there were more than 3.5 billion fast internet users worldwide. Many computer manufacturers are looking to sell to the next 1 billion, who are likely to be in Africa, Indonesia and other developing nations. The growth of the middle classes in those countries points to an increasingly important consumer and business market.

An early 2015 report from Internet.org estimated that only 40% of the world’s population had ever gone online. Smartphone sales in China are rapidly changing the market. In 2015, China-based manufacturer Huawei Technologies became the first Chinese mobile handset maker to ship more than 100 million units in one year. Huawei’s 108 million units shipped represented soaring growth of 44% over the previous year. China Internet Network Information Center (CINIC) reports that 656 Chinese were using smartphones by 2016. PC manufacturers in the Asia Pacific region include China’s Lenovo Group, Inc.

Intel is spending $1 billion in a five-year project to improve internet access, as well as educating teachers and students in computer use, in India, China and other developing countries. Intel has already trained hundreds of thousands of teachers in China and India on PC and internet use.

In India, a leading domestic smartphone manufacturer is Micromax. China-based Coolpad in invested $300 million in manufacturing, research and development within India, with manufacturing begun in early 2016. India is expected by many observers to become the world’s largest market in terms of annual smartphone sales.

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