Tata Group Acquires Wistron's India iPhone Plant for $680 Million

Tata Enters Apple's Supply Chain

Tata Electronics Pvt. Ltd., a subsidiary of India's Tata Group, completed the acquisition of Wistron Corp.'s iPhone assembly facility in Narasapura, Karnataka for approximately $680 million, according to regulatory filings reviewed by the Economic Times. The deal, first announced in October 2024, received final approval from India's Competition Commission and Taiwan's Investment Commission in December.

The transaction makes Tata the first Indian-owned company to manufacture Apple products, marking a significant step in India's ambition to become a global electronics manufacturing hub. Previously, all iPhone production in India was handled by Taiwanese contractors Foxconn and Pegatron.

Factory Operations and Workforce

The Narasapura plant employs approximately 12,000 workers and currently produces iPhone 15 and iPhone SE models. Annual production capacity stands at roughly 6 million units. Tata plans to invest an additional $500 million over three years to expand the facility and add production of newer iPhone models.

"This acquisition transforms Tata Electronics from a component manufacturer into a device assembler," said N. Chandrasekaran, chairman of Tata Sons. "We are building capabilities to serve the full spectrum of electronics manufacturing."

Apple's India Manufacturing Push

Apple assembled approximately $14 billion worth of iPhones in India during calendar year 2025, according to estimates from JPMorgan, representing roughly 14% of global iPhone production. The company's stated goal is to produce 25% of iPhones in India by 2028.

Foxconn, Apple's largest contract manufacturer, operates two iPhone factories in India — in Sriperumbudur (Tamil Nadu) and Bengaluru — with combined annual capacity of approximately 20 million units. Pegatron runs a smaller facility in Chennai.

India's production-linked incentive scheme for electronics provides manufacturers with cashback incentives of 4% to 6% on incremental production, creating significant financial motivation for expanding iPhone assembly operations.

Tata's Electronics Ambitions

The iPhone plant acquisition is part of a broader electronics push by the Tata Group. The conglomerate is simultaneously building India's first commercial semiconductor fabrication plant in Dholera, Gujarat, in partnership with Taiwan's Powerchip Semiconductor Manufacturing Corp. The $11 billion fab is expected to begin producing 28-nanometer chips in late 2027.

Tata Electronics also operates a precision electronics facility in Hosur, Tamil Nadu, producing iPhone enclosures and other machined components. The company has secured contracts with several non-Apple clients for printed circuit board assembly and precision manufacturing.

Supply Chain Implications

The deal reflects a broader trend of supply chain localization in India. The government has approved over 700 companies under its production-linked incentive schemes across 14 sectors, with total committed investment exceeding 4 trillion rupees ($47 billion).

However, India's electronics component ecosystem remains underdeveloped. An estimated 65% of components used in Indian iPhone assembly are imported, primarily from China, Taiwan, and South Korea. Building a domestic supplier base capable of reducing this dependency will take years.

Market Reaction

Shares of Tata-listed entities reacted positively. Tata Consultancy Services rose 1.8%, and Tata Motors gained 1.2%, reflecting investor optimism about the group's diversification into electronics manufacturing. Wistron shares in Taipei fell 1.4% as the company continues its strategic pivot away from lower-margin contract manufacturing toward higher-value enterprise computing and automotive electronics.