Essential Products has raised $300 million from the e-commerce giant Amazon, Tencent Holdings, and Foxconn. Founded by Andy Rubins, who is the founder of the Android operating platform, the company has raised the required funds in a bid to push sales and drive marketing before the launch of the device. Moreover, the company has inked partnerships with Sprint and Best Buy to sell the smartphone and is expected to announce the launch date by next week.
Huge competition
The company sources revealed to media that Access Technology Ventures played a crucial role in the latest funding process.
In addition to Amazon, the electronics manufacturer Foxconn, Tencent, Playground Global, Redpoint Ventures also participated in the funding. Interestingly, Amazon offered the required cash via Alexa Fund. According to Essential, the handset will be made available via Sprint in the United States and Telus in Canada. Priced at $699, the phone will compete with the likes of Samsung and Apple.
Release date soon
Commenting on the development, Essential President Niccolo De Masi disclosed that a tentative Release Date for the Essential phone will be revealed next week. He declined to provide the exact date but it should be before the end of August 18.
Unlocked phone
With many popular smartphones expected to hit the retail shelves, it is vital for the Essential to push the phone at the correct time.
The unlocked variants of the phone will be available only through the retail stores owned by Sprint and Best Buy across the US.
Features
The highlight of the Essential phone is the integration of a lightweight detachable 360-degree camera. According to Bob O'Donnell, Technalysis Research the Essential needs to be aggressive in the challenging environment.
Even though the features and specifications of the phone sound promising, they are not unique.
Exclusive discounts
When asked about the current price, R. Ray of Constellation Research disclosed that mobile carriers such as Sprint provide exclusive discounts from time to time along with monthly payment options. This will encourage new customers to buy the phone.
The presence of the two high profile investors from Asia will set the path for the launch of the handset in China including emerging countries like India.
It remains to be seen as to how the smartphone manufactured by Essential will attract the existing users of premium handsets. The Rubin-owned company really need to work hard to push the market share in the competitive mobile segment.
As of this writing, the Essential is working on to push the brand in the Western countries. We expect the company to expand its base to Europe and Asia by early 2018. The management added that the current production level is limited since the phone makes use of a combination of ceramic and titanium.
