Just days after OnePlus rolled out the drums to celebrate its ninth anniversary, the company has jointly announced a strategic partnership with Oppo. The new collaboration between the Chinese brands will see Oppo stake up to 10 billion yuan ($1.43 billion) in OnePlus up to 2025. Termed Dual-brand strategy, it will make OnePlus the pioneer brand of flagship smartphones from the duo.
The terms of the partnership also indicate that OnePlus products will have a zero net profit margin to help maintain the best features and quality. Oppo’s Research Institute’s cutting-edge technology will be tilted toward OnePlus channel sharing. OnePlus products will be sold exclusively online in China. Customers will also be able to enjoy repair services at Oppo’s service centers across the country.
As of this moment, Oppo’s online stores in China currently have the latest OnePlus smartphones and accessories listed. There are over 5,000 Oppo offline stores across the country, while over 1,000 service centers are available.
As a fallout of the new and enhanced partnership, the OnePlus community app has been relaunched in China. This will stimulate discussion among OnePlus fans in China about everything OnePlus. The new partnership seems fully focused on the China operations of both brands. There are other partnerships in the international firmament between Oppo and OnePlus and these continue to blossom.
The Oppo investment in OnePlus indicates that an average of 3.3 billion yuan will be invested in OnePlus annually. This portends a rapid growth trajectory for both companies. It is expected that the production of flagship smartphones from the dual-brand partnership could battle for a chunk of the share in the local market. Although both companies have yet to provide a full outlook, the prospects seem encouraging.
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