India

Violence at a Wistron iPhone plant puts India expansion in jeopardy

Police case filed against 5000 workers

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The police have arrested more than 100 workers who went on a rampage over claims of unpaid wages at a Wistron-run iPhone factory near Bangalore. The Taiwanese company is one of Apple’s global contractors, and the company assembles multiple iPhone models in India.

Footage on social media showed smashed CCTV cameras and glass panels, broken lights, and a car set on fire at Wistron Infocomm’s manufacturing facility. Wistron claims it suffered a loss worth INR 437.40 crore (roughly US$ 60 million).

In a statement to the AFP news agency, the company did not refer directly to the workers’ complaints. Still, it said that “the incident was caused by people of unknown identities from outside who intruded into and damaged its facility with unclear intentions.”

 

The company has also filed a police case against 7,000 people, including 5,000 of its contract workers and 2,000 that did not work there. Work has been suspended at the plant, and police have beefed up security in the area.

Questions were raised over Apple’s future expansion plans

After the incident, sources said that Wistron is deliberating whether it should continue with India’s expansion plans. The company intended to hire up to 25,000 employees by the end of 2021 to improve and expand Indian operations. Currently, it has 12,000 direct and indirect staff at the factory.

However, Apple is leaving no stone unturned and has quickly stepped in. It has sent teams on the ground and was launching a detailed investigation at Wistron’s facility.

The state’s deputy chief minister, CN Ashwathnarayan, condemned the “wanton” violence and said his government would ensure the situation was “resolved expeditiously.”

Wistron is looking to invest nearly INR 3,000 crore more to expand the facility. Though, it isn’t the only one making Apple products in India. Foxconn has a unit at Sriperumbudur in Chennai’s outskirts and has pledged to invest up to INR 7,000 crore over the next three years. Similarly, Pegatron is also committed to a long-term investment in India.

India

India imposes a ban on imported laptops, tablets, and PCs

Personal orders are still allowed

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There’s no doubt that India is a major market for technology. While the country has its own brand preferences outside of the world’s usual, everyone still wants to get a piece of the market. To the dismay of global companies, the country is realizing the potential of its own market. Effective immediately, India has started restricting imports for new laptops, tablets, and PCs.

Recently, India made some headlines in the smartphone industry. A few companies, including Apple, have poured funds into building factories in India. Locally produced devices will allow these companies to attract the Indian market better. With the new regulations out today, it looks like these brands are going to enjoy a head start over others who aren’t in the country yet.

The Indian government introduced a new restriction (via Reuters) against the importation of “laptops, tablets, all-in-one personal computers, and ultra-small form factor computers and servers” made from other countries. Customers, however, will get an exemption. Airline passengers can still bring in these devices in their luggage. Additionally, a single imported device is allowable when bought through e-commerce platforms. Companies can import their products only by applying for a special license.

In a nutshell, bulk orders without a license are out. The government is instead encouraging users to buy locally produced products as part of its “Make in India” program. At the very least, it’s not a total ban on foreign brands. For example, Dell, HP, and Lenovo are exempt from the regulations since they already have production facilities built in the country.

SEE ALSO: Samsung overtakes Xiaomi as top phone brand in India

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India

Samsung overtakes Xiaomi as top phone brand in India

As of Q4 2022

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Attacking a huge smartphone market is difficult. With preferences constantly evolving, it can get tricky to figure out the best lineup to capture most of a market. Samsung, however, has just done it. In the last quarter of 2022, Samsung has taken the crown from Xiaomi as the bestselling smartphone brand in India.

India is an important market for most smartphone brands. It’s one of the largest markets in the world. However, despite its size, the biggest players are often those who offer more affordable devices for consumers. Budget is the name of the game if a brand wants to make it big in the country.

Things are changing, though. According to new market data (via Reuters), Samsung has nabbed the throne from the former leader, Xiaomi. In the last quarter of 2022, the Korean brand grabbed 20 percent of the market, while the latter only got 18 percent.

In a trend dubbed as premiumization, Indian consumers are reportedly enjoying more disposable income, resulting in more willingness to buy pricier products. Additionally, the report hints that consumers have started equating lower prices with inferior quality.

With the market trending towards more premium products, Samsung took the lead with a lineup that consists more of midrange to premium devices. It will also be interesting to see if Apple, an even more premium brand, can also make a dent in the Indian market.

SEE ALSO: Buyer’s Guide: Samsung Galaxy S23 Ultra

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Enterprise

Apple is preparing to open its first stores in India

Based on new job listings

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For one of the largest smartphone markets in the world, India is one of the rarer countries where Apple does not outright dominate. Undoubtedly, the company is trying to change that. Ongoing job listings in India are suggesting that Apple is ready to open its first brick-and-mortar store in the country.

First reported by Financial Times, Apple has posted job openings in India for several retail roles including for the iconic Genius Bar. Another clue even indicates that some spots have already been filled ahead of time. A few employees in the country have reportedly posted about their new jobs on LinkedIn.

Unfortunately, none of the job listings show how many stores are planned and where they will be. Narrowing things down by a bit, a few of the confirmed employees are from Mumbai and New Delhi. The report also does not indicate when the stores will open. However, since a few have already been hired, a grand opening might be coming soon.

Apple has a lot to gain by strengthening its foothold in India. The country is an important stronghold for smartphone companies. However, the company might find things harder as time goes by. The country recently dictated that brands must switch to USB-C if they want to sell their devices in India. All over the world, Apple remains the last stalwart against adopting the more universal standard.

SEE ALSO: Google throws more RCS-flavored shade at Apple

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