Nothing Announces Spin‑Off of Its Affordable CMF Brand with India HQ

In Focus

• Nothing positions CMF spin-off as independent subsidiary headquartered in India
• Plans for CMF manufacturing in India via joint venture with Optiemus
• “CMF has been well received … build it into India’s first truly global smartphone brand,” says Carl Pei
• Investment of over $100 million and creation of 1,800+ jobs over three years

Nothing on September 24 unveiled a bold strategic move: it will spin off its affordable CMF brand into a standalone entity, placing India at the heart of its operations. The new structure will shift design, research, and production to India, as the company seeks to sharpen focus in the competitive budget device segment.

Restructuring & Operational Focus

With the Nothing new sub-brand announcement, the company has confirmed that the Nothing CMF sub-brand will now be an independent subsidiary, no longer just a division under the flagship Nothing umbrella. India will serve as the operational base, encompassing R&D, supply chain management, and regional strategy execution. This realignment responds to market dynamics, where devices priced $100–$200 dominate India’s shipments (42% of volumes in Q2 2025 per IDC).
To execute CMF manufacturing in India, Nothing is forming a joint venture with Indian ODM Optiemus. Together, they commit to investing more than $100 million across the next three years and creating more than 1,800 jobs locally. The ownership structure and capacity plans remain undisclosed publicly.

Strategic Positioning & Market Rationale

The rationale behind the CMF spin-off involves multiple factors. First, it allows Nothing to define the Nothing affordable CMF brand separately from its more premium lines, preventing brand dilution. Industry commentary suggests that CMF’s focus on budget wearables and smartphones in India can be more sharply managed under an independent unit.

Carl Pei, CEO of Nothing, emphasized the strategic imperative: “India will play a key role in shaping the future of the global smartphone industry. CMF has been well received by the market since we launched it two years ago. With our end-to-end capabilities, we are uniquely positioned to now build it into India’s first truly global smartphone brand. Our joint venture with Optiemus is a key milestone toward making that vision a reality.”

This Nothing new sub-brand announcement follows earlier organizational moves, such as appointing Himanshu Tandon as VP of Business for CMF, reflecting the increased operational emphasis in the Indian market. Recently, Nothing has raised $200 million in its latest Series C funding round, led by investment firm Tiger Global.

Implications for B2B & Industry Stakeholders

This spin-off signifies a deeper industrial bet on India’s electronics ecosystem. For OEMs, component suppliers, and logistics partners, it means new demand corridors tied specifically to a mass-market consumer brand. The move also aligns with India’s manufacturing incentive frameworks, possibly allowing the JV to tap into PLI-like support.
From a competitive standpoint, separating the Nothing CMF sub-brand creates clearer market segmentation. The flagship Nothing brand can maintain its premium positioning, while CMF addresses volume-driven growth in the affordable segment without brand conflicts. In other news, Apple demands EU repeal the Digital Markets Act after formally requesting European Union authorities to review the legislation.

Key Takeaways for Industry

• The Nothing affordable CMF brand targets India’s fastest-growing budget smartphone segment.
• CMF manufacturing in India strengthens local supply chains and creates employment.
• The Nothing new sub-brand announcement ensures brand segmentation between premium and budget tiers.
• Strategic partnership with Optiemus highlights growing importance of Indian ODMs in global electronics.

Looking Ahead

This strategic pivot marks a significant shift in Nothing’s global posture. With its CMF spin-off anchored in India, the company is betting on local engineering, supply chains, and scale to drive competitive advantage. For B2B stakeholders—component vendors, manufacturing partners, and distribution networks—the coming quarters will be critical in how the Nothing affordable CMF brand ramps, how CMF manufacturing in India scales, and how effectively the sub-brand competes in India and beyond.