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Apple to Manufacture iPhones in India: We Weigh In

With multiple rumors speculating Apple’s recent involvement in the Indian Market, many assumed that it was seeking ways to establish a manufacturing plant in India. With much speculation happening over the past few days, the Karnataka government has officially issued a release that welcomes Apple’s proposal to begin its initial manufacturing iPhones in India.

The release was signed by the states IT minister Priyank Kharge who claimed that Apple’s intentions to manufacture in Bangalore will only foster the cutting edge technology ecosystem and supply chain development within the state allowing India to compete globally.

The deal, while not completely finalized, will see India become only the third country that will seek to assemble the iPhone. This further indicates just how far the country has come and how important it stands for one of the biggest companies in the world.

This comes with many reports sourcing information with regards to Apple’s recent earning calls, where CEO Tim Cook shared his vision of India stating the country’s growing middle class as a factor that could be critical to the company’s growth and moreover, its long-term performance in the market. Added the fact that Apple’s business with China has seen a significant decline. He further emphasized that India could potentially be one of the biggest and most important economies of the current age. The fact that Apple bears a strong consumer appeal in the country, only further backs it up.

So what could this deal be like for India and the smartphone market?


  • The no brainer here and the most looked at benefit here are how the deal affects import charges. With production set to take place, it’s fair to assume that Indian consumers will no longer have to bear those ridiculous import taxes.
  • This lower cost could mean better availability of iPhones in India. More availability could also translate into more demand of the product.
  • The effort could also see a better job market as more jobs would be offered. The kicker here is the benefit of being associated with a big brand such as Apple.


What does it mean for other players such as 3rd party service centers that provide repair solutions? Many 3rd party service centers acknowledge that fact that such an attempt to manufacture iPhones in India could significantly bring down the price point of purchase. While many are skeptical of this step and what it could do to such services, many welcome it with open arms stating that this move could open up the smartphone market in India.

While smartphone sales are at an all-time high in India, Apple accounts for just a fraction of it as Android continues to dominate. The endeavor to manufacture in India will only open the doors to more accessibility for smartphone users in the hope that more and more will continue to adopt the iPhone as their primary device of choice. With the assumption and the hope that iPhone devices do indeed become more affordable to the Indian consumer, this could in fact become a reality. This could in turn, spell out more opportunities for such 3rd party repair services who see it as a more than welcoming change.

With regards to the deal in general, this could be a major step in the right direction and could prove to be a win-win situation for both Apple and India. Whether the deal sustains in the long run is yet to be seen, but either way, the future does look bright and could be a significant point for India and more importantly Bangalore.

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