Micromax started in 2008 now ranks third among the handset manufacturers in India. Started by Rajesh Agarwal, Sumeet Arora, Rahul Sharma and Vikas Jain, the company is known to make unique affordable handsets of acceptable quality. Their products span dual-SIM feature phones to 3G Android smartphones. With a pan-India presence & sales to almost all the neighboring countries, Micromax is now a force to reckon with.
With cheap Chinese handsets flooding the Indian market it is a relief to to see an Indian manufacturer gaining some ground. No wonder, when Micromax thought of going public, it raised a total of US$ 88 Million (@ Rs. 440 Crores). Interestingly, reputed Venture Capital firms Sequoia Capital, Sandstone Capital and Madison India Capital together bought 5.75% stake in the company before the proposed IPO for around Rs. 210 Crores (US$ 40 Mn). Unfortunately owing to the market collapse, the firm’s IPO dream could not materialize.
So how did it rise?
The Indian mobile handset market is exploding. There’s a demand for all sorts of mobiles. Micromax made its name by offering ‘Value For Money’ equipment that outlasted expectation. Additionally, the company made some major top management changes. It hired senior people from Sony Ericsson (now Sony Mobile) and HTC. They also make 2G, 3G and 4G supporting wireless communications equipment.
With 4G just around the corner, is this association with Spreadtrum a way to ensure Indian customers get capable mobile phones soon?