OnePlus and Realme to exit Indian smart TV market

Chinese electronics giants OnePlus and Realme have reportedly decided to exit the smart television business in India while continuing their smartphone operations. This move comes as a shift from their previous strategy of expanding in the television category. Both OnePlus and Realme have invested significantly in building sales channels and branding to cater to the growing demand for smart TVs in India. The decision to exit the television market is a departure from their earlier plans to scale up their presence in this segment.

The smart TV market in India has been on the rise due to the availability of affordable smart TVs, coupled with low internet rates and the popularity of streaming platforms. While the exact reasons for this exit are unclear, it's speculated that the ongoing regulatory scrutiny on Chinese companies in India may have played a role in this decision. 

Several Chinese smartphone companies, including Vivo and Oppo, are currently under investigation for alleged violations related to anti-money laundering regulations and tax evasion.

Geopolitical tensions

Geopolitical tensions between India and China have also led to Chinese companies divesting from their investments in India. In contrast, Indian authorities have been actively encouraging global manufacturing giants, such as Apple and Google, to set up production units in the country through production-linked incentives (PLIs).

Despite the exit of OnePlus and Realme, the Indian smart TV market remains highly competitive, with both legacy and new-age players such as LG, Samsung, Sony, Xiaomi, TCL, Vu, and Thomson. 

According to data from Counterpoint, Xiaomi, Samsung, and OnePlus were the top players in the Indian smart TV market in the first half of 2023, with OnePlus being one of the fastest-growing brands in the segment. Xiaomi, however, dominated sales during this period.

Growing smart TV market in India

The International Data Corporation (IDC) estimates that 4.5 million smart televisions were shipped to India in the first half of 2023, representing an 8 per cent year-on-year increase. This growth is attributed to strong sales through e-commerce channels and the introduction of multiple new TV models.

As OnePlus and Realme withdraw from the television market in India, Xiaomi continues to expand and lead in the smart TV category. The decision to exit this segment reflects the challenges and uncertainties faced by Chinese electronics companies operating in India amid regulatory scrutiny and geopolitical tensions.