Apple’s iPhone SE local production to start this month

The Dollar Business Bureau

US-based technology giant Apple Inc on Wednesday said it is starting initial production of iPhone SE in a ‘small number’ in Bengaluru and begin the shipping of its ‘Made in India’ phone to domestic consumers this month.

“We are beginning initial production of a small number of iPhone SE in Bengaluru. iPhone SE is the most popular and  powerful phone with a four-inch display in the world and well begin shipping to domestic customers this month,” the company said.

Earlier, in February, the government of Karnataka had announced the proposal of Apple to begin initial manufacturing process in Bengaluru.

Priyank Kharge, IT Minister, Karnataka government had said on March 30 that Apple Inc would be ready to commence the assembling of iPhones in Bengaluru within a month to enhance chances of firming its foothold in the fast growing smartphone market in India.

Taiwanese original equipment manufacturer (OEM) – Wistron will manufacture the high-end phones for Apple at Peenya, Bengaluru.

Domestic manufacturing is likely to help the company to price its products more competitively in the country as it presently has to pay additional duty on the imports.

The Cupertino-based maker of iPhones and iPads had sought for various tax relaxations and other incentives for entering the country in the manufacturing sector.

The iPhone maker has been increasing its efforts to enhance its presence in India, one of the fastest growing smartphone markets. The company is also keen on establishing retail stores in the country and has sought exemptions in domestic sourcing norms.

In addition, Apple Inc has announced the opening of App Accelerator in the city, an initiative to provide support to developers in India and facilitate them to transform the designing and performance of applications on its mobile operating system - iOS. 

India will be the third nation to assemble iPhones, indicating how vital the country has become for one of the most valued companies in the world.

However, Apple has been fighting hard with Samsung for gaining the top place in premium smartphone price range of Rs.30,000 and above. In the quarter January-March, the South Korean major has replaced Apple as the top vendor of premium smartphones capturing 48% market share, increased from 31% in the previous quarter of October-December, according to the data by Counterpoint Technology Market Research. Apple's share in the Indian market fell to 43% from 62%.