Indian smartphone brands eye sub-₹20,000 gap as Chinese firms go premium

Homegrown mobile companies are moving into the sub-₹20,000 mass market at a time when rising memory costs have led Chinese smartphone makers to cut back sharply on the number of models they sell in the segment. With margins under pressure at the lower end, these global players have been shifting their attention towards premium devices. 

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Several Indian brands have either entered the smartphone business or expanded their presence to make the most of the opening. 

For the first time, Mivi, the audio technology company based in Hyderabad, is venturing into the smartphone market. It has planned the launch of its first smartphone on November 24 at a price tag lower than ₹20,000. 

On the other hand, NxtQuantum Shift Technologies from Noida, founded by Madhav Sheth, who was earlier the CEO of Realme India, has launched 11 devices and their variants with a brand name Ai+ ranging between ₹10,999 and ₹19,999.  

Fire-Boltt, a name associated with smartwatches and audio products, has launched its Boltt smartphone range at ₹10,000 to ₹16,000, sold exclusively on Flipkart. 

Among the older Indian players, Lava International offers a range of phones in the category priced between ₹9,999 and ₹19,999. The company sells through online channels as well as roughly 800 offline distribution outlets. 

Fewer models at lower price points 

The numbers of brands present in the under ₹10,000 segment have fallen to eight from 14 for the second quarter of 2026 according to information collected by Counterpoint Research. 

No new product launch took place in the ₹10,000 to ₹15,000 segment in the quarter under study. The numbers of products launched in the ₹15,000 to ₹20,000 bracket fell to 14 from 16.  

The thinning out at the lower end is being attributed largely to higher memory costs, which are pushing original equipment manufacturers towards the premium range. Taken together, however, the sub-₹20,000 segment made up 51% of the overall smartphone market in Q2 2026, which keeps it an attractive proposition for new entrants. 

The newer players view the retreat of established global brands as a clear opportunity. Mivi co-founder Midhula Devabhaktuni considers this an opportune moment to launch an Indian mobile brand under ₹20,000, given that larger global companies have moved to the premium end of the market as memory prices climbed. The company describes its ethos as quality at value pricing. 

Mivi developed the design of its phone in-house and has built in features such as noise cancellation. In the long run, the firm will manufacture its products without any outside help. Its objective is to be an original design manufacturer and design its own cell phone and also manufacture its key parts. 

NxtQuantum bets on online-only model 

NxtQuantum is targeting a 3-4% share of the overall smartphone market this financial year and has so far concentrated on online sales through its tie-up with Flipkart. 

The rationale behind the online-first approach is to keep the phones competitively priced. Online sales account for 50% of the market, and setting up a distribution channel adds 30-40% to costs that consumers eventually have to absorb. Founder Madhav Sheth has indicated that the company will need to expand beyond online once volumes grow.