ZTE opens largest device plant in Shanxi

ZTE opens largest device plant in Shanxi

13 FEB 2015

ZTE has opened its largest device production facility in western China with an annual capacity of 15 million terminals.

The new facility in Xi’An, Shanxi province, will have 25 product lines in its first phase.

Zeng Xuezhong, CEO of ZTE’s device business, told C114.net at the opening ceremony that while China and the US are its two main markets, it is expanding rapidly in other markets. Smartphone shipments to Asia Pacific doubled last year, while it has seen more than a fivefold increase in Latin America and a fourfold rise in the Middle East and Africa.

The company said in January it aims to increase smartphone shipments from 48 million units last year to 60 million this year. Total handset shipments are targeted to hit 100 million handsets in 2015.

The Chinese firm is pushing its 3+1 strategy to address all market segments. The Grand series is targeted at business clients, who are concerned about security. The Blade is billed as an affordable mass-market brand, while the Star series is designed for the youth, tech-savvy market and features voice controls. Its new Nubia sub-brand offers a range of devices for different segments, but its takes a page out of Xiaomi’s playbook and pushes online sales.

A report from Strategy Analytics in Q4 noted that ZTE is shifting from a volume-driven to a value-driven strategy and has seen healthy increases in revenue, pricing and profit initially.


Joseph Waring

Joseph Waring joins Mobile World Live as the Asia editor for its new Asia channel. Before joining the GSMA, Joseph was group editor for Telecom Asia for more than ten years. In addition to writing features, news and blogs, he...

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