The sale of an assembly plant near Bengaluru has been approved by Wistron Corp, enabling the Tata Group to soon produce India’s first homegrown manufactured iPhone.
Union Minister Rajeev Chandrasekhar has confirmed that manufacturing operations will commence within a span of two and a half years. Over the course of the past year, the conglomerate, known for its diverse portfolio ranging from airlines to software, has engaged in discussions with the Taiwanese iPhone manufacturer to acquire the aforementioned plant.
Tata Companies will commence iPhone production in India for both domestic and international markets within a span of two and a half years.
The Tata team is commended for their successful acquisition of Wistron operations, and gratitude is expressed towards Wistron for their contributions.
Apple’s endeavor to establish a global supply chain from India, with Indian companies leading the way, is highly commendable. On Friday, the company issued a statement confirming board approval for the sale of Wistron InfoComm Manufacturing (India) Private Ltd. to Tata for a sum of $125 million. Following the confirmation from both parties, regulatory approvals will be pursued.
Earlier reports from sources had estimated the Tata-Wistron deal to be worth over $600 million. As per a Bloomberg report in July, Tata has committed to fulfilling various manufacturing and hiring obligations made by Wistron under their agreement. This includes exporting iPhones worth a minimum of $1.8 billion from the factory until March 2024 to secure state-backed financial incentives. Wistron has also expressed its intention to triple its workforce at the plant by next year. Currently, the facility employs over 10,000 workers who assemble the latest iPhone 14 model.
Interestingly, these developments were announced just hours after Prime Minister Narendra Modi highlighted India’s technological advancements during the India Mobile Congress. “Recently, Google announced the production of its Pixel phone in India. Samsung’s Fold 5 mobile phone and Apple’s iPhone 15 are also being manufactured in India. We are proud that the world is now using mobile phones made in India,” he stated during the event.