India manufacture may soon not be limited to just the low-end of the iPhone line, as Foxconn appears ready to start manufacturing the iPhone X at its Chennai facility.
According to sources familiar with the matter, and previously rumored, the Chennai Foxconn facility will produce the iPhone X in time for the fall 2019 launch of new flagships. Devices manufactured at the facility will serve not just the Indian market, but be used for export as well.
At present, the facility is not set up for the iPhone, nor has the equipment needed. According to Bloomberg on Tuesday morning, Foxconn will invest around $300 million in the facility to get it ready for the duty, an investment that was previously speculated.
Currently, only lower cost iPhones such as the iPhone SE and iPhone 6S are assembled in India by Foxconn competitor Wistron. A report earlier this year claimed Wistron will update its factory to put out Apple's higher-end handsets, specifically the iPhone X.
It isn't clear, though, if Wistron will get the nod to produce the devices. It seems unlikely that given Apple's small footprint in India, that both manufacturers will be tapped to manufacture higher-end devices in the country.
As of late, there have been a number of hurdles for Apple's expansion plans in India, including a recently decision to allow the country's anti-spam app into the App Store to avoid a ban from the local cellular networks. A top advisor to Prime Minister Narendra Modi also insisted the country should restrict its import of luxury goods like the iPhone and tax them heavily, further hurting Apple's outlook in the country for high-end sales.
6 Comments
Very exciting times for Apple fans in India. The iPad has already 39% Indian tablet marketshare. Hopefully apple gets 7-10% of the smartphone market within a year or 2.
Well, it appears Apple is shifting at least some of its manufacturing to India even if it’s forced to in order to sell phones there. However, the same thing will happen in India as has happened in China. As the middle class begins to rise so will wages, followed by those same manufacturing plants producing knock-off products labeled as domestic products. Indians will start to buy those products instead because of price and national pride. So the question arises. Where will manufacturing go next? There aren’t any populations and economies like China or India left to exploit. And, by the way, I’m not singling out Apple because ALL manufacturing is following the same path. Meanwhile the middle class is sinking in the U.S. and Europe because of it.
To be clear, this only means assembled in India, correct? No parts will actually be manufactured in India?