Karbonn Fashion Eye with Artificial Intelligence Feature - May Face Troubled Waters


Karbonn with much fanfare announced their Artificial Intelligence attached device Karbonn Fashion 1.0 with the following feature sets

Key Features Of Karbonn Fashion Eye:
5 inches , 720 x 1280 pixels
145 x 72 x 8.0 mm
1.3 GHz Quad-Core processor
Primary Camera
8 MP (Autofocus, LED flash, HD video recording)
Secondary Camera
3.2 MP
8 GB
Expandable Memory Upto
32 GB
Android 5 Lollipop
2000 mAh

It's really encouraging to see that Indian home grown Mobile Handset companies are adopting Technologies to protect themselves from the onslaught of cash rich Chinese Smartphone players. Karbonn Mobile in the past one and half years facing turbulent time in maintaining their market share but failed to do so. The leader of past is now the considered as laggard due to many misstep done by the organization in product placement.

The newly launched device with AI wherein the inbuilt app will read out the color, pattern and prints automatically and correlates it through inbuilt analytical simulator followed by offering of similar product to Smartphone user. At the first place who gave the attached app to read that information without the consent of end user. I believe that organization failed to implement the consumer privacy act and accordingly modulate the applications. Secondly, given the Device specifications, the search of product from different portal using Internet is going to slow down the device and in my opinion it will start hanging the phone in due course. It is great to see that Karbonn tried hard to replicate the model of zopper in a slightly different way.

In the specification, the device will have additional mobile application and games integrated and in that scenario, end user will end up having only 300 to 350 MB at max the free ROM to use the device. If end user download two heavy games then device will start slowing down again.

In my opinion, The artificial intelligence centric product will not work in vehicular environment to multipath impact. It will consume huge data of end user. Given the weak battery size in order to keep the device sleek will act as negative for the device. End user must remember that artificial intelligence product will run in the background in order to map end user behavior with the server and subsequently populate the information on user device may impact the performance of other applications which is either integrated or downloaded by the end user.

Battery drainage will be very high in vehicular environment. The camera power is basic and end user should not expect that they will get very good quality.

Most importantly, Karbonn strategic team thought that most of the user who buys online uses entry level Smartphone but they should also remember that the average ARPU of such user's are not even INR 500. In that scenario, even if they manages to get 7-8% of GMV, they need minimum 200k to 300k transaction on monthly basis and then they will share revenue with their partner. Hence, to claim that it will increase the VAS revenue by 10 to 15% looks bleak. In my opinion, Smartphone buyer should stay away from the device and may get better proposition from Gionee or Intex or Coolpad.

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