Why Apple is betting big on India

"There are a lot of people coming into the middle class, and I really feel that India is at a tipping point, and it's great to be there," Apple CEO Tim Cook said in May last year.

His comments underscore one reason Apple has recently made an aggressive play to expand operations in India: the country has a huge population, with a growing middle class willing to splash out more on high-end phones.

But it's not just about sales for Apple. The tech giant has also boosted its manufacturing footprint in India, via Foxconn, the Taiwanese firm that assembles iPhones. Apple now makes around 1 in 7, or 14%, of its iPhones in India, according to a Bloomberg report this month.

Last year, an Indian government minister said Apple was looking to eventually manufacture 25% of all of its iPhones in India.

It's led many investors to wonder whether India can become the next China for Apple.

In the latest episode of CNBC Tech's "Beyond the Valley" podcast — which you can listen to above — Tom Chitty and I discuss why Apple is pursuing the Indian market — and if it can live up to its promise.

If you have any thoughts on this or previous episodes, please email us at [email protected].

You can subscribe to "Beyond the Valley" by clicking the links below to your chosen platform:

Apple Podcast

Google Podcasts

Spotify

Here is a transcript of the episode of "Beyond the Valley" released on Apr. 11, 2024. It has been edited for clarity and brevity. 

Tom Chitty 

Before we get back to our main story, we've got to hear Arjun's stat of the week, which is...

Arjun Kharpal

18.8% market share.

Tom Chitty

18.8% market share. Okay, Arjun? Why is Apple looking to reduce its reliance on China.

Arjun Kharpal

I think we have to go back to sort of the height