HonorTech to Re-launch in India Under Licensing Agreement with Chinese Smartphone Brand Honor

HonorTech will relaunch the Honour brand of smartphones in the country in September, with an initial investment of Rs 1,000 crore, according to a senior company official. HonorTech will work in India under a licensing agreement with the Chinese smart device company Honour for the relaunch.

HonorTech CEO Madhav Sheth told PTI that the company's goal is to gain a 4-5 percent market share in terms of volume by the end of next year, translating to a revenue of Rs 10,000 crore.

"The government is considering the idea of having Indians own and manage the company's business and authority."

"HonorTech is a completely Indian entity. We are going to work under a licensing deal with Honor where they will license us and we will do everything from sales to manufacturing in India. No royalty will go to Honor," Sheth said.

Huawei launched and owned the Honour brand before selling it to another Chinese firm, Shenzhen Zhixin New Information Technology, in November 2020.

HonorTech is his own joint venture with PSAV Global, which entrepreneur C P Khandelwal owns.

"Honor's 70% manufacturing is completely automated, and they entirely manufacture 40% of their machinery." In India, we must meet comparable standards. "Under the terms of the agreement, Honour will assist us with product know-how, entire supply chain management, technology transfers, and software transfers at a fixed cost," Sheth explained.