Itel, Lava revive low-spec 4G phones to target sub-₹10,000 demand
Itel and Lava are bringing back 2GB and 3GB RAM 4G smartphones, priced largely below ₹10,000, ahead of the festive season. The move targets demand in smaller towns as larger brands continue to move upmarket, despite a sharp decline in the segment’s shipment share.
What happened
itel · Itel and Lava are reviving low-spec 2GB/3GB RAM 4G phones as major brands shift premium. Despite a sharp Q2 2026 decline in sub-₹10,000 shipments,
Key facts
- 2GB and 3GB RAM smartphones are returning with 4G support
- Most models are priced below ₹10,000
- Sub-₹10,000 shipments fell 74.3% YoY in Q2 2026
- Segment share declined from 15.6% to 4.5%
- 2GB RAM phones now sell for ₹8,000-9,000 versus under ₹6,000 in 2023
What changed
Itel and Lava are reviving low-spec 2GB/3GB RAM 4G phones as major brands shift premium. Despite a sharp Q2 2026 decline in sub-₹10,000 shipments, industry executives expect more budget models before the festive season, targeting strong demand in smaller towns.
Why this matters
Use festive-season distribution and localized marketing in smaller towns to capture the affordability gap with reliable sub-₹10,000 4G devices, while tightly managing margins and inventory risk in a shrinking segment.
What to watch
- Festive-season shipment growth in the sub-₹10,000 smartphone band versus the overall handset market.
- Average selling price movement and discounting on entry-level 5G phones.
- Feature-phone-to-smartphone conversion rates in smaller towns and rural markets.
- Offline channel inventory levels, retailer margins and sell-through for Itel and Lava.
- Mobile data-plan pricing or 4G network-quality changes that affect the value proposition of low-cost 4G devices.