Tata Group to double iPhone production at Hosur facility in India: report

HIGHLIGHTS

• Tata Group is looking to expand its Hosur plant and double the production capacity.
• Apple is said to have set high targets for Tata to manufacture iPhones in India.
• Foxconn is reportedly planning on investing more than $1.5 billion in an Indian construction project to fulfil Apple supplier’s operational needs.

Tata Group has completed the acquisition of Wistron’s iPhone manufacturing facility, thereby becoming the first Indian company to manufacture iPhones. Before this move, Tata was making spare parts for Apple, including the casing of iPhones at the Hosur facility in Tamil Nadu. Now, the Economic Times reports that Tata Group is looking to expand its Hosur plant and double the production capacity.

Separately, Apple iPhone maker Foxconn is reportedly planning on investing $1.5 billion in India in a move to expand beyond China.

Tata Group looking to expand its Hosur plan

• The r eportsays that Apple is said to have set high targets for Tata to manufacture iPhones in India. These units will be exported to global markets as well.
• The Tata Group facility in Hosur is spread across 500 acres and employs over 15,000 people.
• The plan currently does the partial assembly for certain parts of iPhones before they are packed into boxes. These parts will be shipped to more facilities of Foxconn and Wistron where the iPhone will be ready to ship.

• TheTata Group Hosur plant will reportedly be expanded in the next 12-18 months and this will help in doubling the production capacity.
• ThisTata Group will help Tata employ 28,000 people.
• Tata is also reportedly exploring the nearby areas to plan for the expansion.
• The ET report says that the Tata Group has received several targets from Apple to increase iPhone production in India.
• Apple has apparently been trying to decrease its dependency on China for manufacturing iPhones.

Foxconn to invest $1.5 billion in India

• Foxconn is reportedlyplanning on investing more than $1.5 billion in an Indian construction project to fulfil Apple supplier’s operational needs, as per the Taiwanese security filings.
• The investment was made through a Foxconn subsidiary, Hon Hai Technology India Mega Development.
• This firm has been registered in Maharastra state since 2015, as per the securities filings and Indian corporate records.
• A concurrent filing said the subsidiary would invest the equivalent amount of $1.5 billion in Indian rupees for a construction project to fulfil “operational needs.”
• Foxconn is Apple’s major supplier and performs significant operations in mainland China.
• The factories are a critical part of Apple’s iPhone manufacturing but these were hit during COVID-19 lockdowns. These lockdowns combined with general geo-political disturbances have prompted Apple suppliers to reaccess their presence in China.
• Foxconn already has a significant presence in India, including a $600 million project in Karnataka state and a $500 million factory in Telangana.
• No other details about the project are mentioned at the moment nor do the security filings mention any key information.
• This comes a few months after Foxconn’s $19.5 billion chipmaking joint venture in India by “mutual agreement.”

In a separate leak by Kosutami San on X.com, we see the alleged iPhone 16 Pro battery prototype’s photos. These images reveal the battery’s frosted metallic shell and a 2.5 percent bigger battery size compared to its predecessor.

If the leak turns out to be true, the iPhone 16 Pro models at least could switch from black foil casing to metallic casing on their batteries. This could lend better thermal efficiency without much difference in weight. We have already seen this transition in the Apple Watches starting Series 7.Speaking of thermal optimisation, all iPhone 16 models are said to feature graphene heat sinks inside. Thanks to better heat conductivity properties, it could improve heat dissipation on the forthcoming iPhones.