NEC to make mobile network equipment in India

Reuters

Japan's NEC Corp (Tokyo, Japan) plans to start manufacturing mobile phone network devices in India to meet growing demand in emerging nations, the Nikkei business daily said. NEC will build a new plant in the southern Indian city of Chennai by the end of fiscal 2011 at a cost of around $13 million.

NEC is one of the leading makers of microwave radio link devices, which are used to wirelessly connect mobile phone base stations. To guard its strong position in the market amid the soaring yen, NEC has decided to create a low-cost production base overseas.

The plant is expected to produce about 30,000 units of Pasolink devices a year, or 10-20% of NEC's total annual output, the paper said. However, production at the company's Fukushima plant will be maintained at the current level even after the Indian operations kick off, says the business daily.

Initially, the entire output will be sold in India, the biggest market for the products. Exports will be gradually increased over time to other markets like Africa, the Nikkei said.

Demand for devices has been growing in emerging countries as they allow for the quick construction of mobile phone networks, the paper said.

($1 = 76.710 Japanese Yen) (Reporting by Maneesha Tiwari in Bangalore; Editing by Maju Samuel)

Related Articles

India telecom operators asked to explain customer complaints

3G in India projected to reach 50 million subscribers by 2012

M2M applications connected through Cloud-based infrastructure

 

Featured Events 

5G North America
May 15-17, 2017
Austin, TX

TM Forum Live!
May 15-18, 2017
Nice, France
TelecomEngine.com in attendance

5G World
June 13-15, 2017
London, UK

TEX
June 20-21, 2017
New York, NY

Communications 2020
July 18 - 20, 2017
Las Vegas, NV