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Tata Electronics Seizes 26% Of India’s iPhone Production, Eyes Bigger Growth

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Eyeing success in the global EMS sector, Tata Electronics reportedly acquires 26% of India’s total iPhone production, and is now targeting other smartphone giants like Xiaomi and Oppo.

Tata Electronics has made notable strides in India’s domestic iPhone production, reportedly capturing 26% of the country’s total iPhone manufacturing in 2024. Following this success, it is now eyeing to provide services to other global smartphone makers.

According to a report by the Business Standard, the company, which acquired Wistron’s iPhone assembly facility in Narsapura, Karnataka, for $125 million in October 2023, expanded its operations significantly to meet Apple’s growing demands.

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In 2024, Tata Electronics increased its annual production at the Narsapura plant to over ₹400 billion value, marking a substantial 180% rise compared to the previous year. The company also saw a 125% increase in exports, which reached ₹310 billion.

This growth was accompanied by a sharp rise in direct employment, with the workforce expanding by 63% from 19,000 to 31,000 employees between 2023 and 2024.

Despite challenges, including a devastating fire at its Hosur facility in Tamil Nadu’s Krishnagiri district in September last year, Tata Electronics managed to recover and continue ramping up its production. The fire caused significant damage and took several days for firefighters to control, but the company has since resumed its operations.

Tata Electronics is aiming to expand its role as well. According to a report by the Economic Times, the company is in talks with smartphone makers, including vivo, Xiaomi, and Oppo, to produce components such as camera and display modules, following a model similar to Apple’s partner Foxconn.

Though negotiations with vivo have stalled due to its joint venture with Dixon, Tata’s push into Xiaomi and Oppo manufacturing could disrupt the competitive landscape, particularly in India.

These brands, which rely on contract manufacturers like Bharat FIH, BYD, and Flextronics, may face increased competition from Tata, which could leverage its scale to offer more competitive pricing.

Tata Electronics is also in discussions with tech giants like Microsoft, Dell, and HP, aiming to diversify its client base. Backed by Tata Sons’ $18 billion investment in electronics and semiconductors, the company plans to open nine new factories in the next two years. As it expands, Tata Electronics is positioning itself as a strong player in the electronics manufacturing services (EMS) industry.

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Shubha Mitra
Shubha Mitra
Shubha is a journalist at EFY. She is keenly interested in India's evolving electronics ecosystem. Her focus revolves around government policies, legislation, and public-private partnerships related to the industry.

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