Tata Group to expand Karnataka-based iPhone-casing facility. Here's why
The expansion will take about 12-18 months, and will result in 28,000 people working at the expanded plant.
Tata Group, which recently secured a deal that will see it produce made-in-India iPhones, becoming the country’s first domestic manufacturer of Apple’s flagship product, is reportedly looking to expand its existing Karnataka-based iPhone facility, an exercise that will result in up to 28,000 people working ‘in one place.’
The plant, located in Hosur in the southern state, is an iPhone-casing unit.
Expansion of Tata's Hosur facility
According to the Economic Times report, the Tata Group is planning to expand the facility's size by up to two times, with the aim being to significantly expand the company's capability in contract manufacturing of both high-end electronic items, and accessories.
Built at an investment of ₹5000 crore, the Hosur factory is spread across 500 acres, with more than 15,000 people working there. This means that the number of those working at the plant, will be nearly doubled as well.
The expansion, meanwhile, will take about 12-18 months.
“The new facility could be entirely for Apple phone components, but I would not rule out the possibility of it being used to manufacture components for other high-end phones of other companies as well,” the ET report quoted a senior government official as saying.
How Tata became India's first domestic iPhone manufacturer
In October, the Mumbai-headquartered conglomerate reached an agreement with Taiwan's Wistron Corporation to take over the latter's factory – also in Karnataka, near Bengaluru – acquiring it for $125 million. Before the deal, Wistron was one of three Taiwanese companies manufacturing iPhones in India, the others being Foxconn and Pegatron.
Apple has three exclusive retail outlets in India, two in Mumbai and one in Delhi; each was opened this year.