SUMMARY
Currently, the company makes about 14% of its devices in India.
Of all its vendors, Foxconn produces a significant share of the products which account for 67% of Apple’s products made in India
The other vendors are Pegatron (17%) and the assembly unit by Wistron which was acquired by the Tata Group assembled the rest
Cupertino-based tech giant Apple has reportedly assembled $14 Bn worth of iPhones in India in fiscal 2024.
As per Bloomberg’s report, citing sources close to the matter, Apple now manufactures around 14% of its flagship devices in India, which translates to about 1 in 7 iPhones.
Taiwanese manufacturers Foxconn and Pegatron have majorly helped Apple in boosting its production output in India. While Foxconn assembled nearly 67% of the India-made iPhones, Pegatron Corp contributed about 17%.
Inc42 reached out to Apple seeking comments on the matter. The story will be updated based on the response.
Apple has increasingly shown its interest in diversifying its supply chains to reduce its dependence on China for the production of its items, considering the global political tensions.
To boost its Indian ecosystem, the company is also reportedly planning to offer residential facilities to its factory workers in line with its industrial housing models seen in China and Vietnam. As per media reports, more than 78,000 units are slated for construction under this scheme.
Apple has been on an expansion spree in India in terms of both production and retail. A year ago, the company opened up two stores in India to enter the retail market. According to media reports, it has plans to open up more stores in the country going ahead.
The company is seemingly leaving no stone untouched to beat the competitors in the market. With an anticipated INR 70,000 Cr revenue, the company produced 10 Mn iPhones in India last year taking up the top smartphone brand by revenue in India leaving behind its South Korean rival Samsung.
Apple accounted for 23% of smartphone revenue share in 2023, despite capturing just around 6.5% market share by volume.
In February, Apple India crossed the significant sales milestone of $8 Bn. This marks the second consecutive year in which the iPhone maker has experienced sales growth exceeding 40%. According to Tim Cook, the company’s India business is currently highly driven by iPhone sales and higher adoption of its products by enterprises.
Apple’s India business recorded revenue of INR 49.3K Cr in FY23, an increase of 48% from INR 33.3K Cr in the previous fiscal year.
