Homegrown mobile companies are looking to tap a new opportunity in the sub-₹20,000 mass market as rising memory costs prompt Chinese smartphone companies to sharply reduce the number of models on offer in the segment, where squeezed margins are pushing them towards premium devices.
A clutch of Indian brands has entered or expanded in the smartphone market to seize the opportunity.
Hyderabad-based audio company Mivi is entering smartphones for the first time, with the launch of its maiden offering scheduled for November 24 at a price below ₹20,000.
Noida-headquartered NxtQuantum Shift Technologies, run by former Realme
Noida-headquartered NxtQuantum Shift Technologies, run by former Realme India CEO Madhav Sheth, has already launched 11 models and their variants under its Ai+ brand, priced between ₹10,999 and ₹19,999.
Fire-Boltt, known for smartwatches and audio products, has launched its Boltt smartphone range priced between ₹10,000 and ₹16,000, exclusively on Flipkart.
Among older Indian brands, Lava International also has a range of smartphones in the category priced between ₹9,999 and ₹19,999. It sells these through online channels and around 800 offline distribution outlets.
Fewer models available at lower price points Shubham
Fewer models available at lower price points
Shubham Singh, analyst at Counterpoint Research, said that in the second quarter of 2026, the number of brands in the sub-₹10,000 segment had fallen to eight from 14 a year earlier.
In the ₹10,000-₹15,000 segment, no new model was added, while in the ₹15,000-₹ 20,000 category, the number of models declined to 14 from 16.
“The decline in number of brands at the lower end is largely because of rising memory costs which are pushing OEMs to the premium range. However collectively this segment accounts for 51 per cent of the overall smartphone market in Q2 2026 — so it remains an attractive opportunity for new entrants,” Singh said.
New smartphone players agree that the pullback
New smartphone players agree that the pullback by established global brands has created an opening.
“It’s an opportune time to launch an Indian mobile brand in the under ₹20,000 segment as the bigger global players with memory prices going up have shifted to the premium end of the market. It’s a good starting point for us. Our ethos is quality at value pricing,” said Midhula Devabhaktuni, co-founder of Mivi.
Devabhaktuni said Mivi had developed the phone’s design in-house and introduced features such as noise cancellation in the device.
The company eventually plans to assemble the phones
The company eventually plans to assemble the phones itself. Its aim is to become an original design manufacturer (ODM), designing and manufacturing its own devices while also making key components in-house.
NxtQuantum bets on online-only model
NxtQuantum, which is targeting a 3-4 per cent share of the overall smartphone market this financial year, has so far focused on online sales through its partnership with Flipkart.
“Our aim is to keep the cost of the phone competitive for customers. Online is 50 per cent of the market, building a distribution channel costs 30-40 per cent which consumers have to eventually bear. So that is why currently we are online. With higher volumes we also have to go,” said Madhav Sheth, founder of NxtQuantum Shift Technologies. Business Standard
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