Apple Expands Operations in India with New Design and R&D Subsidiary

As Apple deepens its manufacturing efforts in India, it has established a new subsidiary focused on research, development, and design to enhance local value addition and leverage India’s skilled engineering talent. Apple has launched a fully-owned subsidiary, Apple Operations India, aimed at managing procurement, supporting manufacturing, and overseeing a range of other functions, including processing, R&D, design, technical support, and testing, according to records filed with the Registrar of Companies.

While Apple currently manages its design operations from the U.S., China, and Israel, this new move positions India as a potential future location for such activities. The Indian government has been actively encouraging companies like Apple to establish R&D and design centers within the country as they expand their local manufacturing footprint.

India has become a global hub for design, particularly in the semiconductor industry, though most smartphone manufacturers have yet to bring design operations to the country. A government official emphasized,

“The government views R&D and design as key elements of local value creation in electronics. As more assembly moves to India, setting up a design unit will help further expand India’s role in the research ecosystem. We already have a strong pool of design engineers here, which has attracted major chipmakers to conduct R&D locally. We expect similar developments in the smartphone sector.”

Over the years, Apple has been steadily building a robust presence in India, which includes assembly facilities and official retail stores. It is also benefiting from the government’s Production Linked Incentive (PLI) scheme for mobile manufacturing.

India has become a major production base for iPhones, accounting for $14 billion, or 14% of Apple’s global iPhone production, in fiscal year 2024, as noted in the Economic Survey 2023-24. The iPhones assembled by Foxconn in India are now sold domestically and also exported. In 2023-24, India exported around $15 billion worth of smartphones, with iPhones making up 65% of this value, or approximately $10 billion, nearly doubling from the previous year’s $5 billion.