The Hindu Business Line : Elcoteq to invest millions in Bangalore handset unit

ELCOTEQ Network Corporation, the Finland-based contract manufacturer for mobile handset makers such as Nokia and Ericsson, plans to set up a manufacturing unit in Bangalore.

The company, in a statement, said it was committed to invest millions of dollars in the Bangalore unit, but did not give investment details.

Elcoteq's Bangalore unit, expected to be operational in six to nine months, would employ some 1,000 people.

Elcoteq would be the first electronic manufacturing services (EMS) provider to offer services for infrastructure and handset original equipment manufacturers in India, the statement said.

"India is one of the fastest growing markets for mobile telecommunications and we see great opportunities for manufacturing services," said Mr Hannu Kienanen, President of Elcoteq Asia Pacific.

"The opening of a business operation in India reinforces the importance of the Asia-Pacific region to Elcoteq and our commitment in expanding our telecom manufacturing facilities in this part of the world," Mr Kienanen said in a statement.

"The key drivers for Elcoteq in choosing to do business in India are the country's large domestic market for mobile communications and its growth potential,. " said Mr Henry Gilchrist, Director of Business Development and Marketing, Elcoteq.

"Elcoteq's entry is a great beginning from the Bangalore hardware industry's perspective," said Mr B. V. Naidu, Director, Software Technology Parks of India.