Dixon Technologies To Manufacture Google Pixel 8 Smartphones In India

Google has reportedly tied up with homegrown electronics manufacturer Dixon Technologies to manufacture the big tech major’s flagship Pixel 8 smartphones in India. 

Sources told The Economic Times that the trial production of the devices has already begun, adding that the first batch of these made-in-India Google Pixel 8 phones is expected to hit the shelves by September this year. 

As per the report, Dixon is expected to manufacture 1 Lakh units of Pixel 8 per month. Of these, 25-30% units will likely be exported. The sources also reportedly said that a big chunk of the production will be set aside for India as the Pixel 8 model accounts for almost 80% of all Pixel smartphones sold in India.

The development comes close on the heels of Dixon’s subsidiary Padget Electronics reportedly signing an agreement to make smartphones for Taiwan-based Compal Electronics’ customers in India. According to the report, Compal is the manufacturing partner for Google globally. 

A person familiar with the development reportedly said that Padget offered competitive prices to Google for producing smartphones as the former is a beneficiary of the Centre’s production-linked-incentive (PLI) scheme. 

What is also interesting is that Dixon Technologies’ managing director Atul Lall, during the earnings call on May 15, had hinted that the company would begin making smartphones for an undisclosed global brand through Compal by September.

As per the report, Google’s parent Alphabet, following Apple’s lead, also plans to expand the production of its smartphones in India but in phases. Sources added that Dixon may also make upcoming Pixel models in the country as well as older devices but the homegrown electronics manufacturer may also consider another manufacturing partner in the country. 

Google’s move to shift a part of its production to India comes as the big tech major looks to gain a bigger pie of the country’s premium smartphone segment. Making phones in India will help it skip import duty of 22%, which may make Pixel 8 an attractive proposition in the INR 50,000-plus bracket (a space dominated by Apple and Samsung).

This comes six months after Google announced plans to manufacture Pixel smartphones in India, with the first devices to be rolled out in 2024. In February this year, reports surfaced that the big tech major was slated to commence the production of its Pixel smartphones in India by the quarter ending June 2024. It envisions producing over 10 Mn Pixel units this year.