Reliance Industries and Google have postponed the debut of their jointly developed low‑cost smartphone, which was originally slated for September 10, 2021. The companies now target a November release, citing the ongoing global semiconductor shortage as the reason for the delay.
Mukesh Ambani, Chairman of Reliance Industries, said the firm is working to have the device ready for the Diwali festive season, which begins in early October and concludes with Diwali on November 4. He emphasized that the timing is important because the period sees a surge in consumer spending on electronics and other big‑ticket items. The semiconductor crunch has been intensified by the COVID‑19 pandemic, which spurred a shift to remote work and drove up demand for chips used in laptops, smartphones, and automobiles.
Several automakers have already halted production lines as a direct result of the shortage. Rajen Vagadia, Vice President and President of Qualcomm India, told CNBC TV18 in August 2021 that “the semiconductor shortage is a global issue, and it’s affecting many industries, including automotive, industrial, and consumer electronics.” Market observers note that the delay could affect the Indian market, particularly during the festive window when households typically purchase new gadgets.
Sunil Bharti Mittal, Chairman of Bharti Airtel, remarked in an Economic Times interview in September 2021 that “the festive season is a critical period for us, and we are working to ensure that we have enough stock of devices to meet the demand.” The partnership between Reliance and Google aims to produce an ultra‑affordable smartphone that will be sold both in India and abroad, priced to reach a broad customer base.
In June 2021, Mukesh Ambani stated, “we are committed to making the smartphone available at an affordable price, and we are working with Google to ensure that it meets the needs of our customers.” Beyond the handset, the collaboration is expected to bolster Reliance’s global footprint, especially as the company prepares to roll out 5G services in India. Jio, Reliance’s telecom arm, upended the Indian market in 2016 with cut‑price data plans and free voice offerings, pushing several rivals out of the business.
Today Jio serves over 425 million subscribers, making it the nation’s largest mobile carrier. Ambani added in June 2021 that “Jio is confident of being the first to launch 5G services in India, and we are working with companies like Facebook, Qualcomm, and Intel to make this a reality.”
