Motorola to setup manufacturing unit in India

Motorola, the world's second-largest handset maker, will consider making telecoms handsets in India. India is the world's fastest growing major mobile market, with new users rising by 2.5 million a month.The New Delhi-based BSNL is in the process of firming up a global tender for up to 40 million GSM lines and the government has said the eventual winner would have to manufacture a part of that order in India.

"We are considering it. We need to grow our market share here," Edward Zander, Motorola's chief executive officer, told reporters.

He said Motorola would launch three low-cost phones in October for the Indian rural market to help win market share from Finnish giant Nokia. Zander said he expected the global demand for 3G handsets to increase next year as carriers announce cheaper content and more affordable services.

"It's going to be better than 2005. This Christmas is going to be better," he said.

(Source: Reuters)