"Dream, Dream, Dream! Conduct these dreams into thoughts, and then transform them into action."
- Dr. A. P. J. Abdul Kalam
4 Apr 2024
In the Headlines ~ Since launching the production-linked incentive (PLI) program for smartphones in August 2021, the Apple ecosystem has directly employed over 150,000 individuals, making it the largest employer of blue-collar workers in India. Government officials and specialists who are aware of the specifics indicated that most of them are young people in the 19–24 age range looking for their first job. In addition, they calculated that 300,000 individuals had indirect employment. Businesses that get incentives under the PLI program must provide the government with information about job creation.
The Rev-up of Apple in India ~
"Overall, the Apple ecosystem is likely to have created over 4 lakh jobs (directly and indirectly) in the last 32 months," a spokesperson stated. The business did not answer inquiries. Due to geopolitical unrest, Apple has been focusing more on India, the second-biggest smartphone market in the world, after seeing a decline in the important US and China sectors. The Cupertino-based corporation started producing iPhones locally in India in 2017 and increased output in line with the PLI program. Since then, it has collaborated with suppliers to make a growing number of components domestically and use its contract manufacturers, Foxconn, Wistron, and Pegatron, to build the newest iPhone models. Last year, the Tata Group purchased Wistron's India division from its Taiwanese parent company. According to official data, the three companies that were approved to receive subsidies under the PLI system generated over 77,000 direct employment, with Foxconn creating the most at 41,000, followed by Wistron (27,300) and Pegatron (9,200).
( Source: Google Images)
(Source: Google Images)
Pegatron is wrapping up its second year of operations in India, while Foxconn and Wistron are in the third year of the PLI plan. According to experts, the iPhone manufacturers are expected to directly recruit around 10,000 workers during the June–September peak, when manufacturing will increase to three shifts to fulfill demand for the next iPhone worldwide. September is usually when new models are released. In February, iPhone manufacturing for FY24 surpassed Rs 1 lakh crore. Depending on dealer margins and taxes, the market value of these phones is estimated to be Rs 1.6 lakh crore. Given that Apple's output numbers exceeded the PLI program objectives by a significant margin, analysts speculated that the corporation may now be the nation's most valuable manufacturer.
To facilitate the relocation of a sizeable portion of production from China, where the majority of iPhones are now built, Apple is also creating a vast network of Indian suppliers, which includes another Tata company. Tamil Nadu, Karnataka, Uttar Pradesh, Andhra Pradesh, and Haryana comprise the supplier ecosystem.
In addition to the three contract factories, officials stated that this rapidly expanding Apple supplier network has generated over 70,000 new direct employees. The data supplied indicates that among Apple suppliers, Salcomp Technologies, which manufactures enclosures and power adaptors, and Tata Electronics, which creates iPhone enclosures at its Hosur site, are the main employment generators. Aside from them, two well-known employers are Foxlink and Sunwoda, which make iPhone cables and batteries.
Furthermore, Avary Technologies, CCL Industries, and Flex—suppliers of iPhone sub-assemblies and components—have added several thousand additional positions to their workforce. As part of its $50 million Supplier Employee Development Fund, Apple has introduced an educational program centered on women's health to assist this expanding ecosystem.