Chinese smartphone brands are continue to build up their grip on the Indian smartphone industry. They occupied almost 49 percent of the Indian smartphone market share in the first quarter of 2017, with an increase of 180 percent in the revenue from the last year performance. It seems to be a major threat to the domestic players, because it is believed that if Chinese brands continue to make room in the market similarly then they will kick out the domestic players from the smartphone market segment.

The four largest Chinese smartphone brands are Xiaomi, Vivo, Lenovo and Oppo, with an aggregate 43.5 percent market share. However, Samsung is continuing to be the top brand in terms of market share captured by them, and soon apple will also shake these Chinese brands by manufacturing its iPhone SE in the country. Domestic smartphone market in India recorded revenues of Rs 346,295 million in the Q1, which is decreasing 8 percent quarter-on-quarters.

However, local market players are struggling to recapture the lost market with new launches in price range of $100 and also in the mid-range market segment. But due to tough competition from the Chinese market players it will be a great challenge for the local players to grow in the market in coming quarters.