women uses her iPhone mobile device as she passes a lighted Apple logo at the Apple store in New York
Reuters

KEY POINTS

  • The new product introduction process for iPhone 17 will start in 2024, Apple analyst Ming-Chi Kuo said
  • The proportion of iPhones made in India is expected to increase from 12-14% in 2023 to 20-25% in 2024
  • Apple has been actively diversifying its supply chain and taking efforts to reduce dependency on China

In a major move to drive Apple's manufacturing plans in India and to wean off its dependence on China, the tech giant is planning to develop its iPhone 17 in the country in 2024, according to Apple analyst Ming-Chi Kuo.

This marks the first time the Cupertino, California-based company will start developing a new iPhone model outside of China, Kuo wrote in a post on online publishing platform Medium.

Apple is actively diversifying its supply chain and has been eyeing India as an alternative to China, which has long been the company's main manufacturing base.

If all goes according to plan, the proportion of iPhones made in India will increase from 12–14% in 2023 to 20–25% by next year, the analyst noted.

He also said the production of iPhone 17 in India will begin by the second half of 2024.

"It will be the first time for Apple to begin development of a new iPhone model outside of China. The standard iPhone is chosen for its lower-difficulty design development to reduce design risk," he wrote.

iPhone contract manufacturers like Foxconn (Hon Hai), Pegatron and Tata Group — which will be the first Indian company to manufacture new iPhones after acquiring Wistron's production lines — are expected to lead Apple's iPhone 17 initiative.

Apple fans can expect the launch of iPhone 17 in the second half of 2025.

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Foxconn currently owns the biggest iPhone production capacity in India (75–80%) and is expected to scale down its production in China's Zhengzhou and Taiyuan factories by 35–45% and 75–85% respectively by next year, Kuo wrote.

The Apple expert also noted that Tata Group's role in iPhone-making would also be key to expanding the company's manufacturing capabilities in India.

By making India's Tata Group an iPhone assembler, Apple can "strengthen its relationship with the Indian government," Kuo wrote. "This move will benefit future sales of iPhones and other products in India and is critical to Apple's growth over the next decade."

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