The Tata Group is in talks with a Taiwanese supplier to set up an electronics manufacturing unit in India. The group is seeking to assemble the iPhone in the South Asian country. If these talks are successful then Tata will make the iPhone and become the first Indian company to do so.
The discussions with Wistron Corp are aimed at making Tata a force in technology creation. People familiar with the matter said the salt-to-software conglomerate (Tata Group) is looking to tap the Taiwanese company’s expertise in product development, supply chain and assembly, NDTV reported.
Currently, companies such as Wistron and Foxconn Technology Group assemble Apple phones, mainly in China and India. If Tata starts manufacturing the iPhone, it will give a big blow to China.
Let us tell you that China’s dominance in electronics manufacturing has been jeopardized by the Kovid lockdown and political tension with the US. The move may also encourage other global electronics brands to consider assembling in India to reduce their dependence on China at a time of rising geopolitical risks.
Under one plan, Tata could buy equity in Wistron’s India operations or the company could build a new assembly plant. With this, both these deals can also happen. Meaning no possibility has been ruled out.
Tata Group Chairman Natarajan Chandrasekaran had said a few days ago that electronics and hi-tech manufacturing are key focus areas for the company. Wistron India is suffering from losses and this move may benefit it.
Just a few days ago there were reports that Apple company will be manufacturing some of its flagship iPhones outside China for the first time. However, it will be very difficult for Apple to truly differentiate itself from China. The decision could be taken by the company due to rising geopolitical tensions over Taiwan and China’s growing rapidity as a technology competitor in Washington. However, there is no official response from the company on this yet.