Tata Group is reportedly on the verge of acquiring Wistron’s factory, an Apple supplier. This move would make Tata Group the first local company to delve into the assembly of iPhones.
Located in Karnataka, Wistron’s factory values at over $600 million and houses about 10,000 individuals, responsible for crafting the iPhone 14 model.
According to Bloomberg, Wistron had initially agreed to provide iPhones amounting to $1.8 billion from the said factory and had also planned to triple the workforce there. Tata Group is set to continue these commitments.
This development is expected to give an impetus to Apple's goal of reducing its dependence on China as a production site. In addition to Wistron, Foxconn Technology Group and Pegatron Corp have been Apple's primary suppliers in India. Amidst increasing tensions between China and the US, and challenges arising from the coronavirus outbreak, Apple has intensified efforts to look for production alternatives outside of China.
A recent report by the India Cellular and Electronics Association (ICEA) states that Apple exported iPhones worth Rs 10,000 crore from India in May, making it the first brand to have achieved this milestone in India. Within the first two months of 2023-24 (FY24), India had exported Apple phones worth over Rs 20,000 crore ($2.4 billion), while in the same period last year, India had exported Apple phones worth Rs 9,066 crore.
