Apple ramps up India bet: iPhone 17 rolls out from new Bengaluru plant

New Delhi: Bengaluru is now on Apple’s global production map in a much bigger way. Foxconn, the Taiwanese electronics giant that already runs Apple’s Chennai facility, has quietly started making iPhone 17 units at its brand-new Bengaluru factory. The site, located in Devanahalli, is Foxconn’s second-largest plant outside China and has been set up with an investment of about USD 2.8 billion, nearly ₹25,000 crore at current exchange rates.

According to a PTI report, the facility has already begun small-scale production. This move is being seen as a major boost to India’s role in Apple’s global supply chain, which has been gradually shifting away from China. Reuters and other agencies have reported that Apple is under pressure to diversify production after supply disruptions in recent years.

Foxconn’s Bengaluru operations are now running alongside its established Chennai unit, both producing the iPhone 17. A source familiar with the matter confirmed, "Foxconn Bengaluru unit has commenced operation with the production of iPhone 17. This is in addition to the production of iPhone 17 at its Chennai unit.”

The launch was not without challenges. Reports say hundreds of Chinese engineers left the Bengaluru site abruptly, briefly affecting operations. Foxconn managed to fill the gap by flying in experts from Taiwan and other regions. The company has not commented officially, and Apple too has kept quiet on the matter.

Apple has big plans for India this year. Multiple sources indicate the company wants to push iPhone production to 60 million units in 2025, compared to 35–40 million last year. In the financial year ending March 2025, Apple assembled 60 per cent more iPhones in India, estimated to be worth USD 22 billion.

Tim Cook himself has underlined the shift. During Apple’s Q2 earnings call on July 31, he said, "The majority of the iPhones sold in the US in June 2025 originated from India.” He also confirmed that every iPhone sold in the US during the June quarter was shipped from India.

An analysis by S&P Global shows Apple’s US iPhone sales at 75.9 million units in 2024. To meet demand, exports from India need to double. March 2025 shipments from India stood at 3.1 million units, pointing to the need for additional capacity or rerouting domestic supply.

India’s domestic market is also heating up. Apple shipped 5.9 million iPhones in the first half of 2025, up 21.5 per cent year-on-year, with the iPhone 16 leading sales. In the June quarter, Apple’s India shipments grew nearly 20 per cent, giving it a 7.5 per cent market share. Chinese brand Vivo, however, still led the market with 19 per cent, according to IDC data.

The Bengaluru facility signals that Apple and Foxconn are doubling down on India not only as an export hub but also as a rising market.