Apple announced on Monday, Sept. 26 that it has begun producing the iPhone 14 models locally in India, the second-largest smartphone market in the world, for the first time in the same calendar year, according to a report by TechCrunch.
The smartphone is being produced in the Sriperumbudur factory near Chennai by the company's international partner Foxconn. Later this year, the locally made iPhone models are expected to be hitting the shelves.
Apple started assembling iPhones locally in India in 2017, but up until this year, the iPhone manufacturer had only used the country's manufacturing facilities to assemble handsets from earlier generations. This announcement comes after the fresh release of iPhone14 models earlier this month.
Analysts predict that by 2025, Apple will progressively lessen its reliance on China, where it has produced the great majority of its devices for more than a decade, and make India the world's primary location for iPhone manufacturing.
Increasing Manufacturing Capacity
According to research released earlier this month by JP Morgan analysts, Apple would increase its manufacturing capacity in India to create 25% of all iPhones by 2025 and relocate 5% of global iPhone 14 production by late 2022.
In recent years, India has drawn investments from Apple's manufacturing partners Foxconn and Wistron by providing generous subsidies as New Delhi works to establish the nation as a manufacturing hub, according to TechCrunch.
JP Morgan analysts noted that India is a favorable destination because of the presence of global industrial giants, as well as its plentiful labor resources and affordable wage costs.
The entry-level iPhone 14 model, which costs $799 in the United States, is priced at 79,900 Indian rupees ($980). In contrast to its $1,099 price in the U.S., the entry-level iPhone Pro Max model is priced at $1,717 in India.
Even though Apple only holds a small portion of the Indian market, the iPhone manufacturer has increased its investment there over the previous five years.
Two years ago, it launched the nation's online Apple Store, and it has since made it known that it is finishing the opening of the country's first physical Apple Store.
Samsung, a competitor of Apple, has already established one of its largest factories in India and recognizes the nation as a major global manufacturing base. The market leader in smartphones, Xiaomi, along with its rivals Oppo, Vivo, and OnePlus, all locally assemble some of their products in India.
The Information recently reported that Google also intends to move a portion of the manufacturing of its Pixel devices to India. The business, which avoided distributing flagship models in India for two generations, announced last week that it would introduce the next Pixel 7 devices in the count.
This article is owned by Tech Times
Written by Joaquin Victor Tacla
