Vestel

Vestel probably isn't a brand many of you will be familiar with, but speaking at the IFA Global Press Conference in its native Turkey, CEO Turan Erdogan, delivered some candid reasonings behind his company's expansion into smartphones for the first time. In short, they can't afford not to be in that market anymore.

Vestel is actually a large operation with a large market share in the TV sector. In Europe it comes only second to Samsung, and makes TVs under license for many other brand names. But the message delivered by Erdogan was pretty clear. If you're not in mobile and you're not in the connected space, you're dead in the water.

It's not often you'll hear a CEO of a major consumer electronics manufacturer speak in this way, but it's also an eye opener. We'll not likely be seeing much of Vestel's smartphones in the U.S. and even many markets in Europe, but they'll be on the market beginning this August and will feature in Vestel's usually large presence at IFA in Berlin this coming September.

 
There are 15 comments

alittleolder says:

Turkish phones... nobody will buy those outside of turkey. That country doesn't have the best reputation for quality here in Europe.

The more important point is what the CEO said, though. He's suggesting that it's now become impossible to ignore mobile for long term success. He's probably right but it's still interesting to hear it from someone in his position.

Hiberny says:

My Turkish friends swear they'll sell well in the Mideast. So they may not worry much about Europe.

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Who cares country reputation about phones? Korean phone is the most seller. Where are the german Italian french even japan phones? So talking of you is just partially and prejudicially. Each country has specific skills on something. Who could guess that korean phones will dominate the market.

fuzzylumpkin says:

Although I see where you're coming from the problem with your comment is that south Korea actually do have a good reputation in the digital and technology sectors.

And one of the best (if not the best) phones of this generation IS Japanese, the Sony Z2.

The thing is, how many Chinese phones do we see in the west? It's pretty rare to see ZTE, Huawei, Xiaomi or Juayu scrawled on the back of someones new phone.

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Just answer my question.. Where are the phones of good reputation countries Germany French Italy or European tech? Also only Xperia from japan with a small market share.

kristof94 says:

Meh, maybe they dont make the best quality in their products, but the people you meet and the places you go in Turkey have the best quality, not something you can find anywhere in Europe.

Ali Gunduz says:

Reputation of Turkish brands and quality depends on what product you are talking about.. not everything can be perfect.. like it happens with other non-Turkish brands and products. French cars, for example, are known to be among the worst quality here in Turkey. Or take Skoda example. It was not a reputable car but after VW Group's acquisition, it now is known to have the same quality with VW.

so I suggest to not generalize. You may end up buying a Vestel phone one day.

FunkyKoval says:

In general I find generalizing quite useful. Specifically however when it comes to holding prejudiced opinions against a whole country - not useful at all. Even less so holding prejudiced opinions about products "made" in that country given today's globalized manufacturing.

Plus who cares about good quality phone hardware these days. Galaxy sales are going up and up and up
/baited ;)

posted from AC powered by DC

I'll take a Chinese phone over a eastern European / middle eastern phone. Especially considering that china now has since decent phone manufacturers.

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fuzzylumpkin says:

The question is, will a phone from them ever be able to get Google certification? I'm assuming the government will prevent them from installing YouTube, and possibly a host of other things.

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berkgun says:

They already have Google certification on their devices and YouTube is on it. Government is not fascist enough yet (:

Gearu says:

In before ICS, 5 megapixel camera & 512mb of ram.

berkgun says:

Real problem with Vestel getting into smartphone business is with taxes. Allthough Turkish government made some adjustments, taxes are still higher than China and workers earn more money so i'm not sure if they can put a competitive price tag.

They already have some tablet and smartphone manufacturing going on and they are all mid range devices. I believe they are not going to shoot at S5, HTC One or iPhone but Moto G area which in my opinion can work.

gaxor says:

Actually, many people in Europe will already own a Vestel TV, and not know about it as they manufacture TV's for other well known brands