Apple’s manufacturing ambitions in India are already making significant strides. In 2024, the company made over $14 billion worth of iPhones in India, marking the first time it produced not only the iPhone 16 and iPhone 16 Plus but also the most advanced iPhone 16 Pro and iPhone 16 Pro Max models. Now, in a groundbreaking move, Apple is reportedly testing the manufacturing process for the iPhone 17 models in India, which is considered one of the most challenging aspects of a new model’s development. This development underscores Apple’s progress in diversifying its iPhone supply chain away from China, particularly in India.
For the first time, it is being reported that Apple is utilising an Indian factory for the base iPhone 17 model. This means that the Indian factory is being employed to determine how to translate the prototype designed in Cupertino into a device that can be mass-produced. Internally at Apple, this process is known as the New Production Introduction (NPI). It involves meticulously tweaking iPhone design, materials, and experimenting with various types of equipment and manufacturing processes to ensure the production of millions of devices daily across multiple factories worldwide with minimal defects. This development typically occurs in October and November.
There is already speculation that Apple plans to introduce an iPhone 17 Slim model next year, alongside fully redesigned iPhone models across the board. This could lead to an exciting new cycle for consumers. Many believe that the iPhone 15 Slim could be the equivalent of the MacBook Air for the iPhone, focusing on a fresh aesthetic. This phone might even surpass the top-of-the-line iPhone Pro Max models in terms of price.
It has been rumored that the upcoming iPhone will feature a smaller 6.6-inch display and the pro motion 120Hz screen refresh rate technology. The phone will be made of titanium aluminum alloy, a material first introduced with the Apple Watch Series 10. Notably, this phone might have only a single camera on the back, marking a first for the iPhone since the iPhone 8. Currently, only the iPhone SE models have a single camera array, and there’s a new SE model in the pipeline. Additionally, all iPhones next year are expected to have upgraded 24-megapixel front-facing cameras. Apple is anticipated to either use the A18 or A19 series of processors, which will provide comparable performance to the regular iPhone 17 model. Furthermore, the phone will include 8GB of RAM for Apple Intelligence and will be the first to feature an Apple-designed 5G modem.
Apple’s iPhone exports from India have surged by 33 percent as it reduces its reliance on China. In just six months leading up to September 2024, iPhone exports reached a record $6 billion, marking a significant 33 percent increase compared to the same period last year. This remarkable growth positions Apple for a substantial surpassing of its fiscal 2024 target of $10 billion from India.
To achieve this, Apple has been strategically expanding its manufacturing base in India. Foxconn, with its sprawling Chennai facility, stands as the primary partner. Tata Electronics has also made significant strides, acquiring Wistron’s factories and expanding its existing ones. Notably, Tata Electronics’ Karnataka factory alone exports around $1.7 billion worth of phones between April and September.
Beyond the iPhone 16 models, Apple has also ramped up production of the iPhone 15 Pro models. In addition to these product offerings, Apple has expanded its retail presence in India. Apple Stores have made their mark in Mumbai and Delhi, with four more stores in the pipeline in Mumbai, Delhi, Bangalore, and Pune. These stores have contributed to a record annual revenue of $8 billion in India as of March 2024.
To further enhance its customer experience, Apple plans to hire over 400 staffers for its inbound retail stores. Moreover, Apple has ambitious plans to launch Apple Pay and possibly even the Apple Card in India, in collaboration with ICICI Bank.
