NEW DELHI: Ringing bells, the company which made headlines a few months ago by announcing one of the World’s Cheapest smartphones with good competitive features admitted that it has incurred heavy losses to provide consumers with what has been advertised. The CEO of the company, Mr Mohit Goel said that he had other plans to take the initiative forward, despite of the deficit in capital.
Mr Goel said that he had requested the appointment of the Prime Minister Narendra Modi for discussing the possibilities of the government funding the initiative, through the Digital India scheme.
“Yes, we have approached the PMO regarding this. We are yet to get an official statement on the offer. If you see, we are incurring a loss of Rs 930 per handset. There is a huge gap between the cost of manufacturing and the price at which we sell it. Most of the loss will be covered by the advertisements on website and the funds we receive from the app developers. Still, at the end of the day we should bare a loss of Rs 180 – Rs 270 per handset”, Goel said.
“Our initiative is very close to the Prime Minister’s Digital India scheme. So, we have approached the Prime Minister’s office with a possible application. Much can be accomplished if we can empower every citizen of India with a smartphone and i believe that the government had something to do with it. We need at least Rs 50,000 crore to supply smartphones to the current Indian population”, he added.
When asked on why the government will be willing to pay such a huge amount, Mr Goel said “We have no objections even if the government approaches third party vendors to manufacture the units. We are only concerned about the initiative. The government can even manufacture the devices on itself, if it prefers”.
After a long time, Ringing bells has geared up to deliver its first batch of 5,000 smartphones from July 8, to which the registrations have been made in February.
The budget-free smartphone will come with a 8-megapixel camera, 4.5 inch display powered with an 1.4Ghz processor along with 8GB of ROM and 1GB of RAM.
In addition, Ringing bells will launch 32-inch LED TV on July 8 boasted as the cheapest TV priced under Rs 10,000. Mr Goel confirmed that they had more than 1 lakh units in reserve and assured that the delivery for the same will take place from August 1st.