The Impact of Apple's Expansion on India's Smartphone Industry

Leading corporations like Foxconn and Samsung are growing their operations in India, which is quickly becoming a significant hub for the production of smartphones. India intends to produce 1 billion mobile phones by 2025, with 600 million units earmarked for export, according to the National Productivity Council. To promote domestic manufacturing and decrease dependency on imports, the government has introduced a number of programmes, including the Phased Manufacturing Programme. The smartphone industry in India is expected to expand further as a result of the country's rising smartphone demand, with additional foreign manufacturers perhaps setting up factories there. The production of smartphones in India appears to have a bright future.

THE FIRST APPLE STORE

An major step in the tech giant's growth into a prospective market and manufacturing base has been made with the inauguration of Apple's first physical location in India. The opening of the store demonstrates the company's desire to grow in India, where it has been offering goods and services for more than 20 years. The design of Apple's Mumbai store was influenced by the city's distinctive black-and-yellow taxis, demonstrating how the company is adjusting its products for the Indian market. The company's dedication to growing in India, which it intends to transform into a manufacturing hub, is highlighted by the opening of the flagship store.

APPLE FEEDING

Numerous sources claim that Apple has significantly increased the number of job opportunities in India. According to Rajeev Chandrasekhar, Union Minister of State for Information Technology and Electronics, approximately 100,000 direct employment have been created by Apple in the nation's manufacturing industry in the past 24 months. Additionally, a recent report claims that Apple's decision to move operations to India has so far resulted in the creation of about 20,000 jobs, with suppliers promising to boost employment by March 2022. Tim Cook, the CEO of Apple, also promised to double the amount of jobs created in India, up from the 100,000 created over the previous two years, during negotiations with Indian government representatives. Overall, Apple's move towards increasing manufacturing in India has led to the creation of a significant number of jobs in the country.

 

SMART PHONES EXPORTS 

The export of smartphones from India has increased significantly in recent years. According to Economic Times, Apple and Samsung were mostly responsible for India's $2 billion in smartphone exports in the first two months of 2023. This increased export value from April 2022 to over $9 billion as producers increased output and outbound shipments. The same report claimed that iPhone exports increased by 65% in volume and 165% in value year over year in 2022, increasing the brand's share of locally produced smartphones to 25% from 12% in 2021. Samsung smartphones made in India also contributed to record levels of smartphone exports in 2022. The Phased Manufacturing Programme (PMP), according to the India Brand Equity Foundation (IBEF), has significantly increased the value of India's mobile phone manufacture and sub-assemblies, attracting considerable investments in this industry. As a result, the nation now has significant manufacturing capabilities. According to the Times of India, Apple's suppliers collectively exported over $5 billion (approximately Rs. 40,000 crore) worth of iPhones in FY23, doubling India's smartphone exports to Rs. 90,000 crore ($11.2 billion) on a 100% rise.