CMF spun out as independent entity as Nothing doubles down on India as its global manufacturing and R&D hub
Nothing’s India Pivot: From Market to Manufacturing Hub
London-based smartphone company Nothing has announced a strategic joint venture (JV) with Noida-headquartered Optiemus Infracom to establish India as its global production and export hub.
The move signals Nothing’s deepening commitment to the Indian market, where it has already invested $200 Mn (INR 1,773.5 Cr) over the past few years. The new JV will further invest $100 Mn (INR 886.7 Cr) over the next three years to bolster local manufacturing, R&D, and exports.
A central component of this deal is the spin-off of Nothing’s sub-brand CMF — which stands for Color, Material, Finish — into an independent entity focused on affordable design-led consumer electronics such as:
- Smartphones
- Smartwatches
- Earbuds
- Accessories
“India will play a key role in shaping the future of the global smartphone industry… We are uniquely positioned to build CMF into India’s first truly global smartphone brand,” said Carl Pei, CEO of Nothing.
Why the CMF Spin-Off Matters
Launched in 2023, CMF has emerged as a well-received sub-brand in the affordable tech space. Spinning it off as a standalone entity enables:
- Focused branding and go-to-market strategy
- Dedicated R&D and production base in India
- A Made-for-India, Made-in-India positioning with global ambition
The JV gives CMF access to Optiemus’s five large-scale manufacturing units, alongside its repair, logistics, and refurbishment infrastructure across India.
Optiemus: India’s Fastest-Rising Electronics Manufacturing Ally
Optiemus Infracom, a long-time player in Indian electronics manufacturing, continues to cement its place as a strategic partner for global smartphone giants:
- Partnerships include OnePlus, RealMe, and now Nothing
- In 2023, joined forces with Corning Inc, Apple’s supplier, to help establish a glass manufacturing plant in Tamil Nadu
This collaboration reinforces India’s growing contract manufacturing ecosystem, comparable to China and Vietnam in scale, and reflects the government’s PLI (Production Linked Incentive) push in action.
A Sector-Wide Manufacturing Shift to India
Nothing’s latest move aligns with a larger trend of smartphone brands shifting their supply chains to India.
- Apple is reportedly producing its entire iPhone 17 lineup in India
- In H1 2025, Apple’s iPhone exports from India hit a record $22 Bn, accounting for 20% of global production
- Google, Vivo, and Xiaomi are also scaling India-based output
India is no longer just a consumption market — it’s now a global production powerhouse.
Why India Is the Center of the Hardware Future
A combination of factors is driving the manufacturing pivot:
- Mature domestic market: With 325–330 Mn phones manufactured annually and 1 Bn mobile phone users, India is a self-sustaining demand hub
- Export potential: Mobile phone exports surpassed INR 1.29 Lakh Cr (~$15.5 Bn) in 2025, compared to near-zero in 2014
- Policy push: Initiatives like Make in India, Digital India, and PLI schemes have created a favorable environment for tech manufacturing
“Indian mobile phones have virtually saturated the domestic market… The uptick in exports shows the world is now buying Indian hardware,” the Centre said in a February 2025 statement.
What’s Next for Nothing?
With $200 Mn raised in its Series C (led by Tiger Global, with participation from Qualcomm Ventures and Nikhil Kamath), Nothing plans to:
- Expand its AI-native hardware and software platforms
- Consolidate CMF as an independent, India-first brand
- Use India as a testbed for global design, innovation, and scale
The Nothing-Optiemus JV represents a paradigm shift — from outsourcing to insourcing value creation, both in terms of product and IP.
