Starting from this year, Foxconn technology will be starting the mass production of Apple’s iPhones in India. Until now, the majority of the production was conducted in China. Terry Gou, group chairman of the Taiwanese manufacturing company said that the company is going to “play a very important role in India’s smartphone industry.”
Based on a report by Bloomberg, Foxconn is ready for a trial production of the latest iPhones. While the older iPhones were produced at a plant in Bangalore for the past several years, the full-scale assembly factory will be situated outside Chennai.
Terry Gou also announced that he will be stepping back from his role. Although this he isn’t leaving the company, Terry’s focus will shift to the broader strategy of the company. According to Karn Chauhan, analyst at Counterpoint Research, the labour costs in China are three times that of the same in India.
Currently in talks with the government about investment, Terry plans on increasing software professionals in the company from a dozen to 600. Foxconn will be investing $300 million initially to set up the production lines for Apple and eventually grow as the capacity increases. Apart from Apple, Foxconn has two assembly lines in Andhra Pradesh and Tamil Nadu for Xiaomi and Nokia devices./ First post