NEW DELHI: An agreement for Tata Group to purchase the Indian supplier facility of Apple is almost complete. Once the deal is closed, a local company will begin building iPhones for the first time. The facility may be acquired by August.
According to reports, Tata Group is interested in acquiring a Wistron Corporation unit in Karnataka. The facility, which is valued at over $600 million and employs more than 10,000 people, is now manufacturing the iPhone 14 model.
By the fiscal year ending in March 2024, Wistron Corp. has promised to ship $1.8 billion worth of iPhones and treble the factory's workforce. According to another report, Tata Group will uphold these agreements after purchasing the factory. The Wistron Corp. factory's takeover will put a stop to the Taiwanese company's iPhone production in India.
The Indian government has launched a number of projects in recent years to promote manufacturing there. Conversely, Apple has been attempting to diversify its iPhone production outside of China by incorporating other South Asian nations. Other significant Apple suppliers have lately increased their output, including Foxconn Group and Pegatron Corporation.
The launch of an Indian iPhone is anticipated to give Apple's initiatives to expand technology manufacturing in South Asia and diversify its product base beyond China more momentum. In the three months that ended on June 30, Wistron exported about $500 million worth of iPhones from India, while Foxconn Technology Group and Pegatron Corp., two of Apple's major Taiwanese suppliers, have also increased production locally.
The manufacturing of iPhones by an Indian company might encourage other multinational corporations to think about outsourcing their production to India in order to lessen their dependency on China.
Conversely, Apple has been attempting to diversify its iPhone production outside of China by incorporating other South Asian nations. Other significant Apple suppliers have lately increased their output, including Foxconn Group and Pegatron Corporation.
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