Local and Chinese manufacturers are on track to control more than 50 percent of India’s 213 million handset sales this year, according to Gartner. The analyst firm notes that the Indian mobile device market is very competitive with more than 150 manufacturers selling devices to consumers.

“The big global brands will continue to face competition from local and Chinese brands as some of these brands are building capabilities to compete at a larger level covering broader consumer segments,” said Anshul Gupta, principal research analyst at Gartner. “G’five, Karbonn Mobile and Micromax occupied third, fourth, and fifth positions after Nokia and Samsung in the third quarter." Gartner adds that with the growing influence of local handset players in the low-end segment, the traditionally stronger, big global players have had their positions weakened.

The average selling price of a mobile device is approximately US$45 at present, with 75 percent of devices sold costing below US$75. Smartphone sales in India made up 6 percent of total device sales in the first three quarters of 2011, and Gartner claims this share is expected to increase to 8 percent in 2012. The Indian market is also driven by the lowest call rates in the world.

Today, India accounts for approximately 12 percent of worldwide device sales, and next year is expected to hit 231 million units, an annual increase of 8.5 percent. By 2015 the market is forecast to see end user sales exceeding 322 million units.