Tatas to buy majority stake in Pegatron’s iPhone facility in Tamil Nadu: report
19 Nov 2024
Tata Electronics and Taiwanese electronics manufacturer Pegatron Corporation have, reportedly, reached an agreement under which the Tata Group company will acquire 60 per cent stake in Pegatron’s iPhone manufacturing facility in Hosur, Tamil Nadu.
Under the terms of the agreement, Tata will oversee day-to-day operations of the Hosur plant while Pegatron will retain the remaining stake and continue to provide technical support, according to reports.
The Pegatron’s Hosur facility has a capacity to manufacture 5 million iPhones annually and employs around 10,000 people.
Last year, Tata Group acquired an iPhone manufacturing plant in Karnataka from another Taiwanese contract manufacturer, Wistron. Besides, the Tata Group is setting up its own phone manufacturing unit near Pegatron’s Hosur plant.
With this, Tatas will have three manufacturing facilities for phone manufacturing A, which will be production ready as and when Apple decides to expand iPhone production in India.
Tata Group, meanwhile, is reported be close to finalising a deal with Wistron to manufacture iPhones.
If the deal is finalised Tata will be the fourth contract manufacturer of iPhones in India, after Foxconn, Wistron and Pegatron.
With local sales and exports from India increasing significantly, Apple is planning to expand retail operations and exports from India.
Apple assembled iPhones valued at $14 billion in India last financial year and exported devices worth over $10 billion, up from $6.27 billion in 2022-23.
The company’s India business totalled $23.5 billion FY2023-24.
