Apple to start building iPhones in India by April
Earlier this month, we reported that Apple had reportedly tapped major Taiwanese ODM Wistron to begin assembling iPhones in India. The news has now been made official by Priyank Kharge, IT minister of the Indian state of Karnataka, who in an interview with Bloomberg revealed that manufacturing will begin in India’s tech capital Bangalore by the end of April.
“Apple’s iPhones will be made in Bangalore and all devices will be targeted at the domestic market,” said Kharge, noting that the state of Karnataka will help Apple if the company decides to tap other manufacturers in the region.
Apple's intentions to make iPhones in Bengaluru will foster cutting-edge technology ecosystem & supply chain development in the state.— Priyank Kharge (@PriyankKharge) February 2, 2017
Apple has been in talks with the Indian government for months. The Cupertino tech giant has allegedly asked for a 15-year tax break, the possibility of which is still being negotiated.
By setting up its own manufacturing plant in India, Apple will be able to open direct retail stores and gain more presence in a country where it has extremely limited market share. In 2016, Apple shipped some 2.5 million iPhones in India, but still managed to only secure the 10th position in a market lead by Samsung and dominated by Android.