Sources say the Apple iPhone 14 manufactured by Foxconn’s plant will be sold both domestically and overseasAt Foxconn’s Sriperumbudur plant near Chennai, Apple has begun production of its flagship iPhone 14.
Both domestic and export markets will be served by the iPhone 14 manufactured at the plant.
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As part of the iPhone 14 lineup, Apple introduces groundbreaking new technologies and important safety features. We are excited to manufacture iPhone 14 in India,’ said Apple.
In addition to iPhone 11 and 12, Apple’s other contract manufacturer Wistron in Bengaluru produces iPhone 12 and SE, SE1 models.
Apple announced on Monday that it has launched its first production of the iPhone 14 in India. This marks a significant moment for Apple in the second largest smartphone market, as forecasters indicate an expanding presence with regard to manufacturing. Foxconn is responsible for assembling this selection of devices near Chennai and a company spokesman expressed their delight at the new development. The locally made iPhones will be available later this year.
Prior to this month’s launch, Apple used its Indian manufacturing facilities to assemble older generation iPhones. It began localizing the assembly of smartphones in India in 2017.
As Apple slowly cuts its dependence on China, where it has been manufacturing the majority of its devices for more than a decade, analysts predict that India will become a global iPhone manufacturing hub by 2025. It was reported earlier this month that JP Morgan analysts would shift 5% of iPhone 14 production to India in late 2022 and expand its manufacturing capacity there to 25% by 2025.
Since New Delhi moved to make India a manufacturing hub in recent years, it has offered lucrative subsidies to Foxconn and Wistron, Apple manufacturing partners. According to JP Morgan analysts, India is a desirable location because of foreign production giants, ample labor resources, and competitive labor costs.
According to Apple, India’s iPhone supply chain has historically only provided legacy models. Within two to three months of starting production in mainland China, Apple has requested that EMS vendors manufacture iPhone 14/14 Plus models in India in 4Q22. The shorter interval suggests the increasing importance of India production and likely higher iPhone allocations to India manufacturing in the future,” the report stated.
Due to the more complex camera module alignment of the iPhone Pro series (done by OEM vendors) and high demand for the iPhone 14 series (tax savings), we believe Apple only produces the iPhone 14/14 Plus models in India now. We expect the volume to begin small in 4Q22 (~1M units per month, or 5% of total iPhone volume)
Many hope that Apple will make its handsets affordable in India as it expands its local manufacturing capacity The base iPhone 14, which costs $799 in the U.S., costs 79,900 Indian rupees ($980). On the other hand, the entry-level iPhone Pro Max costs $1,717 in India, compared to its $1,099 sticker price in the United States.
The iPhone-maker has expanded its investment in India in the past five years, even though it commands a tiny market share. In the country, Apple opened its online Apple Store two years ago, and it has stated that it is planning to open the country’s first physical store soon.
In addition to setting up one of its largest factories in India, Samsung, Apple’s rival, sees India as a major global manufacturing hub. Several of Xiaomi’s rivals, Oppo, Vivo, and OnePlus, as well as Oppo, and Vivo, also locally assemble their handsets in China.
Recently, The Information reported that Google plans to move some of its Pixel smartphone production to India. The company said last week that it will launch the upcoming Pixel 7 models in India after skipping it for two generations.
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