Tuesday, October 4, 2011

Japan's NEC corp plans to make mobile network equipments in India

Japan's NEC Corp plans to start manufacturing mobile phone network devices in India to meet growing demand in emerging nations. They are palnning to build a new plant in Chennai by the end of fiscal 2011.

NEC is one of the leading makers of microwave radio link devices, which are used to wirelessly connect mobile phone base stations. To guard its strong position in the market amid the soaring yen, NEC has decided to create a low-cost production base overseas. However, production at the company's Fukushima plant will be maintained at the current level even after the Indian operations kick off.

Demand for devices has been growing in emerging countries as they allow for the quick construction of mobile phone networks.

Initially, the entire output will be sold in India, the biggest market for the products. Exports will be gradually increased over time to other markets like Africa.

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