Tata Group, a major Indian conglomerate, has entered the iPhone manufacturing industry in India by acquiring Wistron’s iPhone manufacturing plant for $125 million.
They aim to support Apple’s goal of expanding iPhone manufacturing in India and are now focused on building one of the largest iPhone assembly plants in the country.
Tata Group will acquire Wistron’s assembly plant near Bangalore, Karnataka, and is also planning to construct a second factory in Hosur, Tamil Nadu.
This venture aims to accommodate around 20 assembly lines, providing job opportunities for approximately 50,000 individuals in the initial two years of operation. Sources indicate that the new factory will commence operations in the next 12 to 18 months.
Size and scope of the upcoming iPhone factory
The upcoming iPhone factory in India is a big achievement for the country’s manufacturing sector, even though it is smaller than other global facilities.
It will be larger than the factory acquired from Wistron, which has over 10,000 employees. Expansion of existing facility in Hosur Apart from building a second factory,
Expansion at the Existing Facility in Hosur
The Tata Group is building a second factory and increasing recruitment at its existing facility in Hosur, specializing in manufacturing metal casings for iPhones, which shows their commitment to meeting Apple’s manufacturing needs and benefits the local workforce.
Exclusive Retail Outlets for Apple Products
Tata Group has revealed its intention to open 100 retail stores solely focused on Apple products as part of its strategic alliance with Apple.
This initiative aims to improve the availability and accessibility of Apple products in India, strengthening Apple’s position in the Indian market.
Apple's Manufacturing Strategy in India
Apple is steadily increasing its production in India, manufacturing about 7 percent of iPhones domestically, aligning with its objective to reduce reliance on China and diversify manufacturing operations. Additionally, Apple sources components from India.
Foxconn's Investments in India
Foxconn, a major manufacturing partner of Apple based in China, has invested heavily in India to showcase the country’s potential as a manufacturing hub. In Karnataka, Foxconn is building a new plant capable of producing 20 million iPhones per year.
Additionally, another plant with a similar capacity is being planned, which reinforces India’s position in Apple’s worldwide supply chain.
Growth Projection: 50 Million iPhones Annually
In the next 2-3 years, Apple and its suppliers want to make 50 million iPhones here every year. The Wall Street Journal says this. By 2030, this production goal will help make 25% of all iPhones made in the world.
China will still be the main producer, but India’s rise as an important Apple manufacturing hub shows how much more powerful it is becoming in the tech business.
Tata Group’s entry into iPhone manufacturing in India is a major milestone for both the conglomerate and the country’s manufacturing sector, as they acquire Wistron’s assembly plant and plan for a second factory.
This positions Tata Group as a key player in Apple’s manufacturing operations in India. Additionally, their expansion of the existing facility and the launch of exclusive retail outlets dedicated to Apple products demonstrate their strong commitment to this partnership.
With Apple and its suppliers aiming to produce 50 million iPhones annually in India, Tata Group is leading the way in this transformative shift for the country’s manufacturing landscape.
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