Earlier on it was the Blackberry’s, Nokia, the iphones which were competing with each other for Indian entry. Competing with them are other new sets of brand such as the Tag Heuer, Versace, Georgio Armani. According to Sudhin Mathur, business head of LG India’s mobile communication many brands have introduced luxury phones as accessories which go well with one’s personality. The competition is as a lifestyle product with Vertu, a Nokia product and Goldvish, a Swiss brand. There are many in India who is prepared to shell out a few lakhs for living off a stylish lifestyle and these brands are meant for them.

As reported by some people inside the company the market size for these products is about $20 million and the annual growth rate witnessed so far is at 20%. Two handsets were launched by Samsung in the year 2007 and 2008. Both of these were designed by Giorgio Armani. According to Ranjit Yadav who is the director at Samsung India, Mobile and IT there is an increasing rise in the brand conscious customers and this has been seen specially incase of mobile phones.

The competition of these luxury phones is with the luxury watches. Their competition is not with the high end phones like the blackberry or Iphone. These luxury phones are simply meant to represent a lifestyle and are not smart phones which have internet packages and other features of a smart phone.  According to an analyst of a lead mobile handset industry, Naveen Mishra at IDC India this segment has witnessed growth and this could be attributed to the Indian society’s increasing affluence in the higher strata. Here owning a premium product is seen as a class statement. This higher stratum comprises of the movie stars and high class fashion conscious people.