BENGALURU: It’s official. Made in India iPhones will soon come out of namma Bengaluru, with global technology leader Apple ready to set up a manufacturing base in India’s Silicon Valley.
This will be Apple’s second big project for Bengaluru. In May last year, Apple had announced setting up of a design and development accelerator in the city to grow the iOS developer community.
According to sources, Apple is set to partner with Taiwanese company Wistron’s existing facility at Peenya for assembling the iPhones.
IT and BT Minister Priyank Kharge told Express that initial production of iPhones in Bengaluru is expected to start in another three months and all the necessary facilities for the same is being provided.
However, he refused to disclose the volume of initial production and other specifics of the production plans.
An elated Karnataka government, announcing the decision on Thursday, said, “Apple’s intentions to manufacture in Bengaluru will foster cutting edge technology eco-system and supply chain development in the state, which are critical for India to compete globally.”
Apple’s representatives met Kharge and state government officials to discuss the initiative and possible collaborations with the government.
The California-based technology major had sought several tax and other incentives, including long-term duty exemptions, to enter the manufacturing sector in India.
The Union government had in May 2016 expressed its inability to offer any special sops for the company as any such gesture would be seen as discriminatory by other electronic manufacturers. Competitors Samsung and Xiaomi have already set up manufacturing bases in the country.
According to state government sources, Karnataka would try to champion the cause of Apple and other high-end technology companies with the Union government, without affecting the interests of local companies.
Local manufacturing is expected to help Apple price its phones more competitively in India as it currently attracts 12.5 per cent additional duty on imports.