Apple’s iPhone sales are not all that great in one of the biggest smartphone markets, India. One of the main reasons for this is it is highly priced one relative to others. However, the company is making efforts to tackle this issue at least to some extent if not completely. For this purpose, the technology bellwether is reportedly planning to build its high-end models in subcontinent itself from early next year.
Though Apple is engaged in assembling iPhone since last year in India, the most recent launch of iPhone X is yet to get started assembling in the region. The tech firm started with iPhone SE assembling and followed with 6S model early in 2018. Currently, reports suggest that the iPad maker wants to assemble the latest model too with the partnership of Foxconn, which has a presence in the region. Incidentally, the alliance partner is managing a big chunk of iPhone manufacturing for the technology bellwether.
There is no doubt that the move would enable the company to boost its sales in India. Also, the Indian government has been pushing for ‘Make in India’ by offering cheap import tariff for smartphone parts. The ruling establishment also slapped a high tariff on imported smartphones thus hurting Apple’s chances of boosting its sales. The latest move will help not only the firm but also the government, which is keen to increase the manufacturing segment.
Taking A Gamble
The objective of the iPhone maker is to avoid high tariffs when it started to build iPhone SE and 6S in the subcontinent. However, the company has not met with any significant success. At the same time, the iPod producer is not ready to give up and willing to take a gamble in respect of its recent models, which is filled with more features. That is because India has dethroned the United States to emerge as the second biggest market for a smartphone in the third quarter.
Apple is struggling to compete with more popular and cheaper models from the likes of Samsung and Xiaomi. In India, the most popular Apple phone was iPhone 6 and is keen to push its expensive models to lift its profitability. However, it would be tough for the company to break into it since people opt for cheaper models. The company is also toying with the idea of offering any cheap iPhone X models.