Foxconn Reportedly Close to Deal to Open iPhone Manufacturing Facility in India

[MacRumors]

Apple manufacturer Foxconn is close to signing a deal with the Indian government to open a manufacturing facility intended to make iPhones, reports ET Now (via AppleInsider). The project would cost $10 billion and be built on top of 1,200 acres of land in Maharashtra, India.

While several other Indian states were in consideration for the plant, Foxconn chose Maharashtra, the third largest state in the country. The manufacturer hasn't yet picked a location for the facility in the state yet, but does have a couple options it's considering. Once the deal is done, ET Now reports it would take 18 months before the plant is operational.

Last year, Maharashtra Industries Minister Subhash Desai revealed that Foxconn was scouting locations in the state for a manufacturing facility. Foxconn is reportedly looking to build 10 to 12 facilities in the country by 2020. The Taiwanese manufacturer has been looking to re-enter the Indian market after being forced to shut down production in the country once it lost Nokia as a client in 2014.

India has increasingly become important to Apple's business, with the Cupertino company recently gaining approval to open its own retail stores in the country and announcing plans to open a $25 million facility focused on maps development in Hyderabad.

Article Link: Foxconn Reportedly Close to Deal to Open iPhone Manufacturing Facility in India

 

[garirry]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

 

[Crosscreek]

Good backup plan to China.

 

[farewelwilliams]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

and yet, everyone is going to complain "WHY IS IPHONE 9 SO MUCH MORE EXPENSIVE?"

 

[garirry]

and yet, everyone is going to complain "WHY IS IPHONE 9 SO MUCH MORE EXPENSIVE?"

Except the iPhone is already expensive for the sake of filling Apple with money. We already pay a premium, can't they do their part?

 

[goobot]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

The US no longer has a workforce capable of such.

 

[joelank]

Bring the jobs back home, I want to have an iPhone 'Made in USA'

 

[demodave]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

This overlooks the tacit/explicit requirement by the Indian government that products sold in India have to generate jobs in India. I'm sorry I don't have a link to hand, but this is MacRumors content from within the last several weeks.

Its a good move by Apple to at least make it look like Apple is honoring the Indian governments request, whether Apple like the requirement or not. And creating more breadth in the supply chain is also a pretty good decision.

 

[now i see it]

As Intel lays off 12,000 employees.........

 

[Oblivious.Robot]

I'm glad that they chose that state, proper workforce and to an extent lesser amount of 'corruption' with head offices in Mumbai perhaps to overlook the management?

But I must say, it will take time for them to be able to manufacture in the same quality standard as their Chinese counterparts.

 

[Jakeoster]

China is looking less and less attractive to get away with squeezing every last cent to help margins. Onwards to a third world country with loose regulation to exploit.

I know Apple isn't alone here and I will continue buying their products but someday we ought to move beyond this.

Many folks are quick to point to the industrial revolution in the first world that we had to go through. That was in the mid-1800s and we all agreed it wasn't proper. It's now the year 2016, not only in the first world but the third world too. We have amassed vastly more resources and capabilities since then and there has to be a better way beyond the sole interests of the shareholders.

I do think things will improve eventually though. Flame away lol

 

[Col4bin]

Well, there goes the neighborhood.

 

[dannyyankou]

I hope some of you guys don't mind paying $1200 for an iPhone...

 

[jdillings]

The US no longer has a workforce capable of such.

So did Motorola import workers from China to make the Moto X?

 

[Pakaku]

I hope some of you guys don't mind paying $1200 for an iPhone...

Isn't that what an iPhone already costs? Maybe Apple should drop their Apple Tax just a little bit while bringing the work force locally. Last I heard there were still a lot of Americans looking for jobs.

 

[jdillings]

I hope some of you guys don't mind paying $1200 for an iPhone...

Another fairy tale...the Moto X was made in the USA and cost nowhere near that. CNet calculated that it cost Motorola $221 per Moto X phone compared to $167.50 for the iPhone....a whopping difference of $53.50. So you wouldn't pay $53.50 extra for your phone to add some quality middle class jobs to the economy? Jobs that could benefit your friends, family, neighbors, or the city you live in.

 

[2010mini]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

It's not really greed per say. Most of the parts that make up all electronics are sourced from Asia. Memory, displays, processors, connectors...etc. all these individual parts would have to be shipped to the US for assembly. Which would be insane! it is easier to assemble the final product closer to where it's parts are made. BTW the machines that do a lot of assembly are made in countries like the US and shipped to Asia. It's not a one sided deal.

 

[69Mustang]

Except the iPhone is already expensive for the sake of filling Apple with money. We already pay a premium, can't they do their part?

I almost feel sorry for you. Take heart though, there are a lot of others who think Apple is a combination of benevolence, altruism, and their friend. They don't do what they do because they like you. Apple, like every other company out there, exists to make money. That's not an indictment of Apple. It's a public company with a fiduciary responsibility to make money for it's shareholders. If their products cost more to make, they're going to pass as much of that cost along to customers to maintain and grow as much profit margin as possible.

So far, that philosophy has worked well for them. Would it continue at a higher price? Don't know.

 

[Kajje]

I really wish businesses like Apple stopped making their products using cheap labour and actually helped with making jobs in the US and other developed countries. Such greediness.

Apple will release a US built version especially for people like you. It will cost $5,000 and guess what, ain't nobody going to buy that!

 

[Kajje]

Jobs that could benefit your friends, family, neighbors, or the city you live in.

Apple was all about Jobs and look what happened.

 

[garirry]

I almost feel sorry for you. Take heart though, there are a lot of others who think Apple is a combination of benevolence, altruism, and their friend. They don't do what they do because they like you. Apple, like every other company out there, exists to make money. That's not an indictment of Apple. It's a public company with a fiduciary responsibility to make money for it's shareholders. If their products cost more to make, they're going to pass as much of that cost along to customers to maintain and grow as much profit margin as possible.

So far, that philosophy has worked well for them. Would it continue at a higher price? Don't know.

Excuse me? I never said Apple was supposed to be a caring company. I said that considering their MASSIVE share of money, they should at least use it to let people in THEIR country develop, instead of forcing poor Chinese people to work at very low rates.

 

[Jakexb]

Nice work, Apple They figured out how to gain access to the Indian market. They had been blocked from selling refurbushed phones in India, but I'm betting that will lifted soon.

Next stop on the protectionist train: Brazil.

 

[2010mini]

So did Motorola import workers from China to make the Moto X?

When it needs to, China moves thousands of workers miles away to assembly plants that needs it.

Lets see this scenario happen in the US.... A plant in Pittsburgh needs more workers to fulfill output demands. So we unend hundreds of people in California where production is not in high demand and move them over to Pittsburgh. Disrupting their families, homes, etc.

 

[808?]

THEIR country.

Apple is worldwide, not restricted to the US.

 

[Urban Joe]

and yet, everyone is going to complain "WHY IS IPHONE 9 SO MUCH MORE EXPENSIVE?"

I see both sides. Made in USA is great but the Labor Unions would totally screw Apple over. Too many modern day unions are like a cancer on society. Basically tantamount to extortion
[doublepost=1462853996][/doublepost]

The US no longer has a workforce capable of such.

Sadly in large part b/c the educational system has been ruined by Federal dollars/control. It's a multi-faceted problem that has to be tackled from many angles.