This may be Apple's next ‘big move’ in India: What we know so far

Apple is considering a significant expansion of its manufacturing footprint in India, potentially through a partnership with CG Semi, an Indian chip manufacturer. According to reports, the two companies are in preliminary discussions regarding the assembly of iPhone components, possibly including display chips, at CG Semi's facility in Gujarat.

This move would represent a notable advancement for local vendors in the iPhone supply chain. The Economic Times reports that Apple's interest marks a potential first step into assembling and packaging chips within India.

Sources quoted by the publication indicate that the discussions are at an early stage, and the specific types of chips to be packaged at the Sanand facility remain undecided, though display chips are a likely candidate.

One source cautioned that while Apple is engaging with numerous companies for various supply chain functions, only a select few will ultimately become suppliers. This suggests that CG Semi faces a competitive landscape to secure a long-term partnership with Apple.

Separately, Tata Electronics and Intel recently announced a collaboration focused on manufacturing and assembling semiconductors for the Indian market. The partnership aims to explore advanced packaging solutions and the development of AI PC solutions. A Memorandum of Understanding (MoU) has been signed, outlining the intent to manufacture and package Intel products at Tata Electronics' upcoming facilities. The companies also plan to jointly explore opportunities to rapidly scale AI PC solutions tailored for the Indian consumer and enterprise markets, which are projected to become a top-five global market by 2030. The collaboration seeks to combine Intel's AI compute designs, Tata Electronics' manufacturing services, and Tata Group's extensive access to the Indian market, according to a statement from the Tata Group.