Tata Electronics is set to acquire a majority stake in Pegatron's iPhone plant

Tata Electronics is strengthening its position as an Apple supplier by purchasing the bulk of Taiwanese electronics giant Pegatron's iPhone division in Tamil Nadu.

Tata Electronics will manage the day-to-day operations of the facility and own a 60% share in the joint venture. According to Reuters, Pegatron will provide technical support and keep the remainder.

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The Tata Group firm might pay $150–200 million for the share, according to ET which cited industry experts.

With over 10,000 workers, Pegatron's current Chennai plant produces 5 million iPhones a year.

This coincides with Foxconn is a rival company in the industry, starting to produce the iPhone 16 Pro Series at its Tennessee facility a few weeks ago.

According to the article, which cited sources, Tata Electronics, which concurrently controls the Wistron and Pegatron facilities, hopes to enhance its capabilities to match or almost match those of Foxconn, the top iPhone manufacturer in India.

Tata Electronics was negotiating earlier this year to manage its manufacturing facility in Hosur, Tamil Nadu, by holding at least a 65% share in a joint venture with Pegatron.

With iPhones accounting for 51% of its global sales, Apple Inc. saw a manufacturing shift away from China in FY24, with its iPhone production valued at $14 billion in India.

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