Issue Brief on “Rising Tech Wars: Apple’s Move towards India”

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In late September 2022, the tech giant Apple announced that it will start producing its iPhone-14 in India.[1] The move is seen by many in the context of increasing tech wars between China and the US. Being the strategic partner of the US, India is the direct beneficiary of the growing competition between the two powers.

Previously, Apple manufactured iPhones in India but it was older models. Apple started its production in India in 2017 by manufacturing its budget iPhone SE in India.[2] Wistron, a small assembler, carried out this operation. Later on, Foxconn and Pegatron, two major assemblers, expanded their business in India. As a result, some parts of the iPhone 12 and 13 were manufactured in India. It is the first time that Apple is producing its latest model, iPhone 14 in India. For now, Apple will only build its 6.1-inch model in the country.[3]

Apple’s initial plan is to move five percent of iPhone production to India.[4] However, experts from JP Morgan estimate that by 2025, Apple could potentially produce 25 percent of its iPhones in India. The report further highlights that due to various resources and competitive labor costs, India is a befitting market for the company.[5]

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