In Devanahalli, Bengaluru, Foxconn has launched a massive factory where production of the Apple iPhone 17 has officially started. This facility is Foxconn’s second-largest manufacturing plant outside China, built with an investment of approximately ₹25,000 crore (around $2.8 billion). This move is not just significant for Foxconn and Apple, but it also positions India as a key player in the global supply chain. In this article, we’ll break down the importance of this factory, its economic and social impacts, and its alignment with the Make in India initiative.
Foxconn’s Devanahalli Factory: At a Glance
- Location: Devanahalli, Bengaluru (near Kempegowda International Airport)
- Area: 300 acres (approximately 1.2 million square meters)
- Investment: ₹25,000 crore ($2.8 billion)
- Purpose: Production and global export of iPhone 17
- Significance: Foxconn’s second-largest production hub outside China
This factory is producing all models of the iPhone 17 (iPhone 17, iPhone 17 Air, iPhone 17 Pro, and iPhone 17 Pro Max). For the first time, Apple’s entire iPhone 17 series is being manufactured in India, strengthening the Make in India initiative.
Why Is This Special?
- Job Creation: Thousands of new jobs, especially for the youth.
- Export Growth: In April 2025, India surpassed China in iPhone exports to the US.
- Economic Boost: Support for local businesses (MSMEs) and logistics.
- Global Supply Chain: India is becoming a major hub for tech manufacturing.
iPhone 17 Pilot Production: What’s Happening?
Foxconn has started pilot production of the iPhone 17 at its Devanahalli factory. This means small-scale production to test the quality and processes before scaling up. Key activities include:
- Assembly: Combining various phone components.
- Quality Control (QC): Rigorous checks on battery, software, hardware, and connectivity.
- Testing: Every unit undergoes multiple tests to ensure no defects reach the market.
This initial phase ensures that large-scale production is smooth and that Apple iPhone 17 maintains high quality. It also helps identify and fix any supply chain or operational issues.
Foxconn’s Strategy in India: Transforming the Global Supply Chain
Foxconn, a Taiwanese company, is a global leader in electronics manufacturing. While most of its production was previously in China, it is now expanding to countries like India. The Bengaluru factory is a key part of this strategy, driven by several factors:
- Reducing Dependence on China: Global trade tensions and geopolitical risks have pushed Foxconn to diversify its supply chain.
- Make in India: India’s government offers tax exemptions and Production Linked Incentive (PLI) schemes to attract investment.
- Cost and Logistics Benefits: Manufacturing in India reduces costs and speeds up delivery to global markets.
This factory positions India as a strong player in the global supply chain, boosting Apple iPhone exports.
Apple’s India-Focused Strategy
Apple has made India a key manufacturing hub. In 2024–25, India produced 35–40 million iPhones, with a target of 60 million units in 2025—a 50–70% increase.
Why India?
- PLI Scheme: India’s Production Linked Incentive scheme encourages investment.
- Cost Efficiency: Manufacturing in India lowers costs for Apple.
- Export Surge: India’s iPhone exports to the US and other markets are growing rapidly.
- Global Stability: Reducing reliance on China makes Apple’s supply chain more resilient.
Crisis and Solutions: Exit of Chinese Engineers
Recently, over 300 Chinese engineers left Foxconn’s India factories abruptly. These engineers were critical for iPhone production, factory design, and training local staff. This move is seen as an attempt to slow India’s electronics industry growth.
Solutions:
- Experts from Taiwan and Vietnam: Foxconn has brought in specialists from these countries.
- Local Training: Accelerated training programs for Indian workers.
- Government Support: India’s government is monitoring the situation, and Apple has backup plans.
While this may temporarily affect production, it’s an opportunity for India to become more self-reliant in technology.
Impact on Jobs and Local Economy
The Foxconn Bengaluru factory is creating thousands of jobs, especially for young people in technical and non-technical roles. Other impacts include:
- Boost for Local Businesses: MSMEs are joining Foxconn’s supply chain, driving growth.
- Export Revenue: Increased iPhone exports are boosting India’s foreign exchange earnings.
- Logistics Growth: Bengaluru’s airport and road connectivity ensure efficient shipping.
This factory is transforming India’s electronics industry.
Environment and Infrastructure
Foxconn’s Devanahalli factory is designed with sustainability in mind. Key features include:
- Renewable Energy: Use of solar power and other sources.
- Water Recycling: Systems to reuse water efficiently.
- Waste Management: Proper disposal and recycling of waste.
Bengaluru’s excellent connectivity (airport and roads) ensures smooth logistics. Foxconn has also invested in local infrastructure, supporting regional development.
Impact on Consumers: Price and Availability
Apple CEO Tim Cook confirmed that by June 2025, most iPhones sold in the US were made in India. Increased exports from India mean:
- Faster Delivery: Consumers get iPhones quicker.
- Better Availability: Fewer stock shortages.
- Stable Prices: No immediate price changes, but future cost reductions are possible.
Risks and Challenges
This project faces some challenges:
- Geopolitical Tensions: India-China relations and global trade wars could disrupt production.
- Skilled Workforce: India needs more technically trained workers.
- Supply Chain: Timely availability of raw materials.
Solutions:
- Training programs for local workers.
- Policy reforms with government collaboration.
- Diversifying the supply chain.
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Conclusion: India’s Tech Future
Foxconn’s Bengaluru factory is a game-changer for India. It strengthens iPhone 17 production, job creation, and global exports. Over the next 6–12 months, expect:
- A 50–70% increase in production.
- Thousands of new jobs.
- Growth in US and global iPhone exports.
- Advances in technical and environmental sustainability.
This step is paving the way for India to become a global tech hub.
How big is Foxconn’s Devanahalli factory?
The factory spans 300 acres and is Foxconn’s second-largest production hub outside China. It includes housing for 30,000 workers.
Will all iPhone 17 models be made in India?
Not all, but a growing share will be. India aims to produce 60 million iPhones in 2025, reducing reliance on China.
How does this benefit India’s economy?
Thousands of jobs.
Growth for MSMEs.
Increased export revenue.
Improved logistics and infrastructure.
Share this article with your network to spread the word about India’s tech revolution and join the conversation in the comments below—how do you think this will shape the future of Apple and India?
