Vivo Working To Merge iQoo Into Its Main Business, In A Bid To Cut Costs
Vivo has reportedly said the merger of both brands into one is also to 'boost efficiency'.
In a bid to reduce costs, smartphone brand Vivo will merge iQoo into its main business, the media has reported. Vivo has reportedly said the merger of both brands into one is also to 'boost efficiency'. It is likely that the brand will be laying off some of its staff during the merger of the two handset makers.
According to a report by publication 36 Krypton, Vivo is working to combine iQoo's branding and online business teams with its own teams. The report cited a source close to the development and mentioned that Vivo's management is mulling to merge iQoo's brand, media strategy and other teams with its existing teams.
ABP Live has approached Vivo India for a comment. This story will be updated if a response is received.
“The internal bosses are still struggling. What is the positioning of iQOO in the future and how to integrate the team are still uncertain,” a former employee was quoted as saying by 36 Krypton.
While it is known that Vivo and iQoo share R&D, supply chain and other resources, similar to OnePlus and Oppo, but iQoo handsets run software that is different from Vivo models.
To recall, iQoo was introduced by Chinese behemoth BBK Group in early 2020 in India. Handset maker iQoo had six devices in its portfolio in its home turf China before it launched its first smartphone in India. At the time of its launch, it was said that the brand would function as a separate legal entity in the country.
Nipun Marya, who was the director of brand strategy at Vivo India for five years was appointed as the CEO of iQoo India in December 2021.
Meanwhile, earlier in December 2022, Vivo was stopped by Indian authorities from exporting around 27,000 smartphones worth $15 million, for more than a week. Vivo India-manufactured smartphones were held up at the New Delhi airport by the country's revenue intelligence unit, which is a branch of the Finance Ministry, over alleged misdeclaration of the smartphone models and their value, said a report by news agency Bloomberg quoting multiple people familiar with the matter.
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