It seems the economic waves have shifted for many US tech firms since the start of the Trade War between US and China. With no resolution in sight from the two superpowers, India is currently the most obvious beneficiary looking at how President Trump and Prime Minister Modi have found common interest in each other.
The latest evidence is when Qualcomm Technologies continues to choose India has its stage for launches. Just two years ago before the trade war, the US based chipmaker could not get enough of the Middle Kingdom , with endless announcement and major investment plans. Qualcomm was enjoying record sales for its Snapdragon mobile chips from friendly Android allies like Huawei, OPPO, VIVO, Xiaomi and OnePlus who were seeing exponential growth in the handset sales. But the latest launches of the new mobile platforms: the Snapdragon 720G, 662 and 460, all targeting the Indian market, shows that a new territory is needed to replace China if the trade war escalates.
India has a population of 1.3 billion, equivalent to China however the Chinese have global footprint with the phone brands while India has yet to have a single brand expanding out of its country. The focus will be domestic, as India yet to fully transition to 4G and many Indians have yet to even own a smartphone.
Qualcomm is betting in this sector without alienating Chinese brands too much, most mid-tier phones in India is dominated by the Oppo’s and Vivo’s, signing up big celebrity names to push their wares. It worked closely with these brands and understood the market demand before producing these mobile chips. So either way, its a win-win situation for all parties, Trump may think he is pushing China to a corner in the trade economy, but businesses will always find a way