Sony Mobile moves into sub-US$200 smartphone segment

Sony Mobile Communications has teamed up with Taiwan-based handset ODMs Foxconn International Holdings (FIH), Arima Communications and Compal Communications to venture into the sub-US$200 smartphone segment, according to industry sources.

The vendor has launched its entry-level Android phone Xperia Tipo outsourced to FIH, with other comparable models manufactured by Arima and Compal to be rolled out in the first half of 2013, the sources revealed.

While Sony expects shipments of each entry-level smartphone to reach several million units, sources at Taiwan-based ODMs indicated that shipment volumes for each model may be lower than expected due to over diversified product lineups and marketing efforts.

Sony Mobile has launched over 10 models of its Xperia lineup so far in 2012 targeting medium-range to high-end segments, and the launch of sub-US$200 models aims to tap the entry-level segment, said the sources.

Sony Mobile shipped 7.4 million smartphones in the second quarter of 2012 and has seen its share in the US, China and, even Japan, continue to decline. Sony Mobile currently accounts for only 8% of the smartphone market in Japan, trailing after Sharp, Panasonic, Fujitsu and NEC, the sources noted.

Sony Mobile aims to ship 34 million smartphones in fiscal 2012, a 51% increase from 22.5 million units shipped in the previous fiscal year.

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