Nothing to spin off CMF as standalone Indian company

Nothing CEO Carl Pei announced on September 21, 2026, that the company will spin off its subbrand CMF into a standalone Indian company with majority Indian ownership. The new entity will be headquartered in India, with its own team and research and development operations in the country. Pei stated in an open letter that Nothing will retain a stake in the new CMF entity and continue as a shareholder and partner. The companies will share engineering capabilities, the Nothing operating system, supplier relationships, and global brand infrastructure. The move is framed as a step to build a global consumer electronics brand from India. Pei argued that the country's next growth stage must focus on product engineering, R&D, and intellectual property beyond manufacturing. He noted that while India is the world's second-largest smartphone manufacturer by volume, it lacks a globally competitive consumer electronics brand with substantial in-house engineering. Pei pointed to historical market data, stating that Indian smartphone brands held nearly half the market in 2015 but fell to less than 1% by 2025 due to a lack of real engineering compared to foreign brands.