Nothing just snubbed its biggest market while defending Phone 3 price

The Nothing Phone 3 is proving to be divisive by design…literally. Its offbeat camera layout, new Glyph Matrix, and a price tag that stretches way beyond previous Nothing phones have made the Phone 3 a talking point across tech forums and comment sections. And while strong reactions to Nothing’s products aren’t anything new for the Carl Pei-led startup, the company’s latest statement about who the Phone 3 is really for is a bit concerning.

In response to rising complaints about the Phone 3’s price, a Nothing spokesperson told Bloomberg that the company has “no plans to lower the price” of the device and that its margins are key to sustaining investment. Then came the kicker: The spokesperson said that the majority of the cost complaints are coming from users in India, but that the region “isn’t the core focus market” for the Phone 3. The spokesperson went on to say, “We’ve designed our product portfolio with different price points to serve different regions, and we have other offerings in the range that are more India-focused.”

For a market that consists of Nothing’s largest user base and the market where it has seen the fastest growth in the last two years, the statement feels a bit dismissive.

As per Counterpoint Research, Nothing just recorded a 146% year-on-year increase in shipments in the region in question for Q2 2025, marking its sixth straight quarter as the fastest-growing smartphone brand there. This growth has largely been driven by the success of the impressive CMF Phone 2 Pro and Nothing’s expanding offline presence.

But while the brand’s more affordable lineup is clearly resonating with buyers, the Phone 3, its first self-admitted “true flagship,” has received criticism for not delivering a premium experience comparable to the Galaxy S25 series or the Pixel 9 lineup. Instead of addressing the criticism about pricing and positioning, the company, which is known for being community-focused, has taken a noticeably defensive tone.

CEO Carl Pei also recently took to YouTube to respond to Phone 3 reviews. “I don’t know why people are so emotional about a phone design,” he said. “Either you like it or you don’t like it. And if you don’t like it, just move on.” He added that while it’s heartening to see how invested the community is, things may have gone too far: “We have colleagues who are getting harassed now for the design.”

There’s no doubt that online criticism can sometimes cross lines, and harassment of any kind should not be acceptable. But it’s equally important for companies to hear out and consider legitimate consumer concerns. Saying a major market “isn’t the focus,” especially when it accounts for the bulk of your brand’s growth, could be seen as sending out the wrong message.

It’s also notable that the iPhone 16 has come out on top as the most shipped device in India this past quarter, signaling that flagships are very much in demand in the country. As per Counterpoint, the ultra-premium price segment grew 37% year-over-year in India. So really, Nothing’s statement implies that criticism from a large segment of its user base doesn’t matter, or worse, that these consumers aren’t worthy of the flagship experience at all.

While it’s Nothing’s perogative to design different products for different markets, because it’s a business at the end of the day, it’s a little out of character to see that a brand that’s always positioned itself as one that listens to its users is telling a huge chunk of its fan base that its latest product isn’t meant for them.