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Apple and Foxconn to invest millions in India in order to boost iPhone sales

Cupertino tries to enter the Indian market in a more aggressive way.

Apple first started to build and sell iPhones built in India in limited quantities with the iPhone SE and 6S line, but in 2019 the company will assemble far more devices in the country in attempts to enter more aggressively in this market, so far dominated by phones costing less than $250. According to a new report by Reuters, Apple’s main hardware partner, Foxconn, will invest $356 million in its Indian plant in order to expand its production capacity in 2019.

High-end models in 2019 will be assembled in India, a decision that will create around 25,000 new jobs in the country. Local-build devices may significantly reduce the costs, hence Apple may set better price for iPhones in India. There is no information whether all iPhones will be sold in India, or elsewhere.

Apple is slowly building its presense in the huge Indian market. The company already unveiled a flagship retail store, modified its relationships with local carriers and retailers, and there is a plan for a ravamped Maps service by 2020. However, even with all its forces, Apple struggles to gain a significant portion of the market, which is strongly dominated by phones below $250. Studies have found that 75% of the phones in India are priced less than $250.

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