Ming-Chi Quo: India will ship the iPhone 14 from the get-go

Posted Friday on Quo's Twitter account:

My latest survey indicates Foxconn's iPhone production site in India will ship the new 6.1" iPhone 14 almost simultaneously with China for the first time in 2H22 (India being one quarter or more behind in the past).

In the short term, India's iPhone capacities/shipments still have a considerable gap with China, but it's an important milestone for Apple in building a non-Chinese iPhone production site.

It implies that Apple is trying to reduce the geopolitical impacts on supply and sees the Indian market as the next key growth driver.

My take: A baby step away from the the Chinese supply chain Tim Cook built.

7 Comments

  1. Fred Stein said:
    From last week’s earnings call, Apple’s iPhone sales in India doubled YoY. Nice side benefit of supply chain diversity.

    2
    August 5, 2022
  2. India is the world’s 2nd largest smartphone market but Apple garners only 4 to 5% now.
    “India needs to do more in areas like labour laws, scale of operations permitted, etc., for the long-term positioning as a serious alternative to China,” Navekender Singh of IDC was quoted by The Economic Times as saying.
    Pegatron, Wistron, and Foxconn, along with smaller partners, are ramping up in India. The assembly plants were knocking out iPhone 12 and SE models to begin. As recently as April, Pegatron was to begin iPhone 13 production in Tamil Nadu. 6,000 employees there is tiny by the standards of Pegatron plants in Taiwan or the mainland (100k+). In Vietnam Pegatron has a large, fast-growing set of manufacturing plants with suppliers building out nearby. Any antagonism only accelerates the trend to more welcoming shores.
    (Link Below)

    5
    August 5, 2022
  3. Fred, there are hidden benefits in each small step to diversify a supply chain. The products these Taiwanese firms assemble require consistent part/module deliveries, some from overseas, some crafted in shops or kept in warehouses nearby. When a supplier in Timbuktu is shut down on govt orders or there’s a general strike in Zuunmod, new supplier networks in Hanoi or Tamil Nadu will prove crucial. If a cargo of chips from is turned away by one nation, redirect the flight to a country where assembly teams are ready to use A15 Bionics. Not necessarily tomorrow but soon.

    1
    August 5, 2022
  4. Bart Yee said:
    Why did you change Kuo to Quo?

    0
    August 6, 2022
    • Good catch, Bart. I actually think it has more to do with the status quo, Quo Vadis (1951 flop) & spell checkers.

      0
      August 6, 2022

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