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• Tata Group is setting up a new iPhone assembly plant in Hosur, Tamil Nadu, boosting the 'Make in India' initiative.
• The move follows Tata's acquisition of Taiwanese electronics manufacturer Wistron's India operations.
• Apple aims to manufacture over 50 million iPhones in India annually, reducing its reliance on Chinese manufacturing.
• The establishment of the new plant is a significant milestone in Apple's expansion in India, potentially influencing global smartphone market dynamics.

In a significant move that bolsters the 'Make in India' initiative, Tata Group, the Indian multinational conglomerate, is preparing to set up a new iPhone assembly plant in the country. The facility, located in Hosur, Tamil Nadu, is expected to become operational in the festive quarter of 2024. This development marks a major expansion of Apple's footprint in India, a key emerging market for the tech giant. The Hosur plant, sprawling over 250 acres, will manufacture iPhones using components from a unit that Tata set up a couple of years ago. Tata Electronics is reportedly investing Rs 6,000 crore in the new plant.

Tata Group's Venture into iPhone Assembly

The venture into iPhone assembly follows Tata Group's acquisition of Taiwanese electronics manufacturer Wistron's India operations for $125 million in October last year. The iPhone contract manufacturers in India now include Foxconn, Tata, and Pegatron. This development comes as Apple aims to manufacture more than 50 million iPhones in India per year, a significant increase from its current production levels. Apple has already begun training thousands of workers at its factory in Sriperumbudur, Tamil Nadu, operated by Foxconn, for the launch of the latest iPhone 16 Pro and Pro Max models in the country post their global debut this fall.

Apple's Strategy and Impact on Global Market

The iPhone 16 Pro Max and iPhone 16 Pro are set to be Apple's next high-end flagship models and the first 'Pro' iPhones to be manufactured in India. This move is part of Apple's strategy to reduce its reliance on Chinese manufacturing amid rising global tensions between Washington DC and Beijing. The Cupertino-based giant has identified India as a key market for both consumers and production. However, until now, China has been the primary location for manufacturing the iPhone 'Pro' models. The shift in Apple's manufacturing strategy is expected to have significant implications for the global smartphone market, potentially influencing pricing strategies and market penetration.

In conclusion, the establishment of the new iPhone assembly plant by Tata Group in Hosur, Tamil Nadu, marks a significant milestone in Apple's expansion in India. It not only boosts the 'Make in India' initiative but also positions India as a key player in the global electronics manufacturing landscape. The move is expected to create thousands of jobs, boost local economies, and potentially influence global smartphone market dynamics. This development underscores the growing prominence of India in the global electronics manufacturing sector and the strategic importance of the Indian market for tech giants like Apple.