"Roselectronika" announced a reorientation to the civilian market and the release of the domestic smartphone level iPhone for $ 130

Igor Kozlov, Director of Roselectronica Holding

Ruselectronics holding (part of Rostec State Corporation), in the next two years plans to restructure production and reorient from the defense sector to civilian, reports TASS . The holding plans to release a smartphone “comparable in quality to the American iPhone” at a price of $ 130, said the head of Ruselectronics, Igor Kozlov.

“In 2018, we will have our own,“ domestic iPhone ”, which will cost about $ 130 on the shelves,“ Kozlov said.

Now 85% of the holding’s revenues are accounted for military products and only 15% are civilian. In the course of the ongoing restructuring, by 2025 it is planned to increase the share of revenue from civilian production to 40%. Investments in this process will amount to 100 billion rubles, which are planned to be mastered in two years.
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At yesterday’s press conference, Igor Kozlov noted: “I didn’t expect things to go so well, we are on time. I think that by 2018 we will have a budget domestic smartphone that will cost $ 130 on the shelves. ”

Back in March of this year, Kozlov made similar statements, but then the cost was called $ 200, and the implementation timeframe was at least three years.

The production of a smartphone does not exclude the possibility of attracting outsourcing companies. The first batches will be assembled in China, otherwise the cost of the product will not be low enough to compete in the market.

The development of a smartphone and software for it is estimated at no less than $ 20-40 million, and the cost of placing an order for assembly in China is another $ 50-100 million. According to experts, assembling a smartphone in Russia will be unprofitable because of the many risks.

Igor Nuzhdin, an analyst at Promsvyazbank, in his comment to the Izvestia newspaper noted that it was pointless to try to make production in the Russian Federation to produce a smartphone completely independently, that is, to compete with Asian countries. At the same time, engineering and design solutions can be quite successful.

“Roselectronika” also plans to start producing security systems for vehicles and fire extinguishing systems, thus increasing the share of domestic goods in these markets.