Tata Group to manufacture Apple iPhone 15, 15 Plus models
What's the story
Tata Group will manufacture iPhone 15 and 15 Plus models in India for Apple. As per the tech giant's manufacturing strategies, new suppliers usually receive smaller orders for lower-end models.
Hence, Tata Group will assemble nearly 5% of the total iPhone 15 and 15 Plus orders. Foxconn, Pegatron, and Luxshare will produce a significant percentage of both Pro and non-Pro models.
Context
Why does this story matter?
Apple is finding it difficult to rely on China for manufacturing due to the escalating geopolitical tension between the US and China.
India has emerged as an alluring alternative, playing a crucial role in the company's expansion plans.
While Apple is ramping up the diversification of its manufacturing footprint, Tata Group has emerged as the first Indian company to assemble iPhones.
Scenario
Tata Group has planned to take over Wistron's Bengaluru plant
Tata Group may acquire Wistron's iPhone-making plant in Bengaluru anytime soon. The 2.2 million sq. ft. factory and $600 million business could become India's first in-country production line for Apple products.
The company has reportedly begun making organizational changes at the plant.
Wistron's plant currently produces iPhone 12 and iPhone 14. Tata Group may start manufacturing iPhone 15 and 15 Plus after the takeover.
More
The conglomerate has shown high interest to make iPhones
Tata Group sees manufacturing for Apple as a golden opportunity, given how the Indian government is encouraging Apple to move its manufacturing line-up in the country.
Apple is also bullish on India's manufacturing prowess. The brand intends to move its production away from China slowly and steadily.
Industry experts suggest that Tata Group may also acquire Pegatron's facilities for iPhones, following Wistron's takeover.
Plans
Apple's production roadmap for iPhone 15 series
The assembly orders for iPhone 15 will be given as follows: Foxconn (70%), Luxshare (25%), and Tata Group (5%).
For 15 Plus, Luxshare will assemble 60% of the orders while Pegatron and Tata will make 35% and 5%, respectively.
The 15 Pro orders will go to Foxconn (70%) and Pegatron (30%), while 15 Pro Max will be made by Foxconn (70%) and Luxshare (~30%).
Currently
7% of total iPhones are produced in India
Apple has ramped up its production in India, now making 7% of the total iPhones. In 2021, the number stood at 1%.
Over $7 billion worth of iPhones were produced during the last fiscal year in India. This number is only going to increase with Tata Group's involvement.
It is said that Apple may start producing nearly 25% of iPhones in India by 2025.
Expectations
iPhone 15 and 15 Plus: What to expect?
While the launch is still a few months away, as per the leaks and rumors, the iPhone 15 and 15 Plus models will adopt the Dynamic Island, a Type-C port instead of Lightning, faster Qualcomm modem chips, and upgraded cameras.
The handsets are expected to retain the 6.1 and 6.7-inch display sizes, respectively. They may be powered by an A16 Bionic chipset.