Tata Group to Acquire Pegatron's iPhone Production Operations in India

By siliconindia  |  Saturday, 20 April 2024, 08:39:54 AM IST

Tata Group to Acquire Pegatron's iPhone Production Operations in India
Tata Group is nearing a potential acquisition of Pegatron Corp.'s iPhone manufacturing operations in India, a move that could further solidify Apple's dependency on Indian suppliers. According to Sources, discussions between Tata Group and Pegatron are in their concluding phases. Upon finalization of the deal, Tata Electronics Ltd. is set to oversee Pegatron's operations in India.
According to the report, the diversified conglomerate is strategizing to acquire a controlling interest in the Taiwanese company's Apple smartphone assembly operations based in India. Pegatron currently operates an iPhone manufacturing facility near Chennai in Tamil Nadu, with another one in the works. Following the agreement, sources suggest that Pegatron will extend support to Tata by sharing its manufacturing knowledge.
Under the leadership of Prime Minister Narendra Modi, Apple is increasing its manufacturing operations in India, leveraging government incentives. The objective is to decrease dependency on China, thereby diversifying the supply chain and better managing geopolitical risks. The Modi administration has introduced production-linked incentives to encourage major Apple suppliers like Foxconn Technology Group from Taiwan and Pegatron to expand their manufacturing footprint in India.
Reports earlier this week indicated that Apple Inc. is engaged in advanced discussions with both Murugappa Group and Tata Group's Titan Company to manufacture sub-components for iPhone camera modules. Presently, there are no Indian suppliers for this crucial component of the Apple iPhone. If successful, this agreement with either Titan or Murugappa Group would mark a significant milestone. The selection of the partner is anticipated to be concluded within the next five to six months.
The Apple iPhone's camera module is renowned for its cutting-edge technology and functionalities. In the standard models, there's typically a dual camera setup comprising a wide-angle lens and an ultra-wide-angle lens. Conversely, the Pro models boast a more advanced triple camera configuration, incorporating wide-angle, ultra-wide-angle, and telephoto lenses. This triple camera system enhances users' ability to capture a diverse array of shots and provides greater flexibility for zooming.

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