Apple reconsidering its decision to not ‘Make in India’

When PM Narendra Modi asked Apple CEO Tim Cook to consider making iPhones in India in their meeting earlier this year, the Apple CEO was a bit reluctant; however, he might be reconsidering his decision.

Apparently, Apple has consulted with one of its largest contract manufacturing partners, Foxconn Technology Group, to consider making iPhones in India in the coming two to three years.

"When Tim Cook was here, the government raised the issue of making in India. It is after that that Apple started thinking of doing something in India which is long term," said one of ET sources.

If Apple manufactures in India, it would mean cheaper Apple products in the Indian market, as well as a quicker accessibility. It could also establish India as one of its export hubs; however, that would require creating an elaborate and complex supply chain.

On his maiden Indian visit, Cook had announced setting up an app development unit in Bengaluru, while also opening a development centre for Apple Maps in Hyderabad.

However, even if things work out, Foxconn may still take two to three years before it starts making iPhones locally.

However, that won’t happen without facing certain challenges, some of which include higher investments, need of cutting-edge technology, and requirement of a component ecosystem.

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