Analysts said that if confirmed the move would be a coup for India’s government, which has been trying to persuade foreign companies to manufacture in the country. The brand itself hasn’t commented on the matter, though an official announcement might not be too far away.
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Following the meetings, Apple said it appreciated the open and constructive dialogue it held with Indian officials, around the expansion of its local operations in the country.
India is one of the world’s biggest smartphone markets and has a substantial demand for Apple products. iPhone sales in India were up 50 percent year on year in the fourth quarter of fiscal year 2016 in earnings results announced on January 31.
Apple will soon have “Make in India” iPhones that will be made in Bengaluru and the manufacturing of iPhones will commence in April this year. “We are not talking to any OEM, but Apple Inc., representatives directly”, Kharge told ET, referring to the Wistron investment. Bengaluru is also closer to Tamil Nadu where Flextronics, one of Apple’s suppliers has a unit.
Though, the signed release did not provide any timeline, production is estimated to start in June.
The release did not detail about what the initial manufacturing operations would be. This, they said, was in order to let the company establish an iPhone production facility in India.
“We are in discussions on a number of things (in India), including retail stores”, Apple CEO Tim Cook said in post-earnings call on January 31, “and fully intend to invest significantly in the country and believe it’s a great place to be”.
Apple announced a year ago the setting up of a facility in Bangalore to assist developers on best practices and improved app design around its iOS platform. Apple’s strategy to keep iPhone 5s sales active in India at the jaw-dropping price of $300 is a clear indication what Apple is up to.
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India will become the third country in the world to assemble iPhones, and it seems that India has now become an important country for tech giants. Recently, Apple also argued government release some norms of 30 percent.
