Micromax Planning To Take Over Korean No. 3 Mobile Brand Called Pantech

Micromax has given millions of Indians a smartphone to deal with. We knew Micromax has shifted gears and will be expanding overseas operations. Reports are already suggesting where Micromax is headed. Micromax might soon be starting its overseas venture in Korea. They are in talks with Korean number 3 mobile manufacturer, Pantech.

Samsung and Qualcomm also have 10-13% of share in Pantech. The Korean company is sailing in rough waters, has not posted profits in the last six quarters and is bleeding. They are in need of fresh funds, which might come if Micromax goes ahead and takes over.

The deal will be great for the Indian mobile major, as then Micromax can expand its foothold in south-east Asia. But Pantech has been facing stiff competition from Korean mobile makers such as LG, who have greater reach and larger foothold in the South Korean economy. This could be a challenge for Micromax and they need to find a way to deal with the immense pressure in an economy where 70% of the users have a smartphone.