Nokia
today announced that it will set up a manufacturing facility for mobile devices in Chennai,
. The manufacturing unit in Chennai will be Nokia's tenth mobile device production facility globally. Nokia anticipates investing up to $150 million in the Indian production plant.
"We selected Chennai to be the location for the factory thanks to the availability of skilled labour, friendly business environment, support from the state government, good logistics connections and overall cost-efficiency," said Pekka Ala-Pietila, President, Nokia.
Construction work at the site will start in April and production is expected to begin in the first half of 2006. Nokia foresees ramping up the factory gradually, employing approximately 2,000 staff during full scale production.
Nokia said that mobile penetration in Asia Pacific is expected to be a major contributor to the global mobile subscriber base, surpassing the two billion mark by the end of 2005.
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