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Fierce competition from emerging Japanese guitar manufacturers prompted Fender to form its Squier brand in 1982. The aim was to bring Fender values to consumers a lower price bracket and one of the first instruments off the Fender's newly established Japanese production line was a '52 Squire Telecaster, from Squier's JV (Japanese Vintage) range.

By 1983, Squier Teles were being given '70s features and from 1985 to 1995, increasingly up-to-date features were introduced as the Standard range evolved into a new generation of Squier models. In the mid-'90s the Affinity, Pro Tone and Vista series were launched, while recent years have seen Squier's Classic Vibe Telecasters rule the roost in the entry-level market.