Apple and Foxconn to manufacture iPhones, iPads and iPods in India
In the near future, iPhones as well as iPods and iPads may be manufactured in India. The main manufacturing partner of Apple, Foxconn Technology is said to be in talks with the Indian government in order to build its manufacturing units in western Indian state of Maharashtra, according to a Reuters report.
As the world's largest contract manufacturer of electronic products, Foxconn Technology's move to enter into India is aimed at reducing cost of production, offsetting wages inflation in China and to boost Apple products sales in the world's third largest smartphone market.
Once successful, such a strategy essentially mean challenging Samsung Electronics position in India, manufacturing cheaper Apple products, which in turn will increase profits, and lastly by doing these Foxconn Technology may see more business coming its way from Apple in the coming years.
Foxconn building manufacturing plants in India means that indigenously built Apple iPhones will be competing with Samsung Electronics - which is at the moment the number one smartphone selling brand - and local players like Micromax in the country.
By 2020, Foxconn wants to develop 10-12 facilities in India; however the company has declined to disclose its plan in detail.
According to Phone Arena, certain parts would be built in India, while the assembly of the iPhones by Foxconn would continue to be done in China. It is also said Foxconn after setting up its manufacturing units in India, will sell Apple products locally and in international markets.
Maharashtra chief minister, Devendra Fadnavis said Foxconn would be building manufacturing centers in Pune or Aurangabad in Maharashtra, reported by IBTimes.
Last year, Foxconn was forced to shut it manufacturing shop in India after client Nokia was taken over by Microsoft Corp.
Apple is one of the biggest clients of Foxconn Technology (Hon Hai Precision Industry Co Ltd). The company also builds electronic parts for some the leading electronics companies like Xiaomi, Acer and Sony.
Industries Minister of Maharashtra Subhash Desai told Reuters that Foxconn would be sending a delegation of their officers to scout for locations in a month's time.
People's interest has increased after the larger screened iPhone 6 and iPhone 6 Plus were launched in India. However, the cost of Apple iPhones is said to be the only drawback when competing with Samsung's smartphones and other local smartphone manufacturers.
Apple iPhone 6 (16GB) cost 44000 rupees ($687.82), while Samsung's Galaxy S6 (32 GB) cost 40,000 rupees ($625.29).
Four Factory of the Future Market Trends to Keep an Eye on
Global Smart Manufacturing Market
Attributed to the rapid growth in the adoption of automated systems in industrial processes, the is predicted to grow from US$$175bn (2020) to US$303bn by 2026 with a compound annual growth rate (CAGR) of 6.4% between 2019 and 2026.
While COVID-19 has somewhat slowed down the market’s growth, it is expected that by the second to third quarter of 2023 there will be a ‘considerable’ rise in growth for the market.
Key players in the industry: Schneider Electric, General Electric, Siemens, Honeywell International Inc., Rockwell Automation Inc., FANUC Corporation, and Emerson Electric Co.
Industrial Automation Market
Making people’s lives easier, and their work more accurate and effective, the global demand for automated technologies such as robotics - especially in science and technology - is driving its increase in global market value.
Key players in the industry: ABB, Siemens, General Electric, Schneider, Endress+Hauser, Yokogawa, Honeywell, WIKA, Azbil, Fuji Electric, 3D Systems, and HP.
Smart Factory Market
Expected to grow from US$80.1bn (2021) to US$134.9bn by 2026, the - with a CAGR of 11% between 2021 and 2026 - is experiencing growth driven by fiscal policies adopted to keep manufacturing facilities afloat during COVID-19.
Other driving factors include resource optimisation, cost reduction in production operations, increased demand for industrial robotics, rising demand for technologies, and the growing significance of energy efficiency.
Key players in the industry: Emerson Electric Co., General Electric, Rockwell Automation, Inc., Schneider Electric SE, ABB Ltd., Siemens AG, Mitsubishi Electric Corp., Honeywell International Inc., Endress+Hauser AG, and Yokogawa Electric Corp.
Artificial Intelligence (AI) in Manufacturing Market
“It is undeniable that the manufacturing industry is at the forefront of artificial intelligence implementation,” says . “Manufacturers are using AI-powered analytics to increase performance, product quality, and employee protection, from substantial reductions in unplanned downtime to better crafted goods.”