Pegatron starts assembling Apple iPhones in India

Bloomberg writes Pegatron is setting up its first manufacturing plant in India. In an effort to diversify outside of China, Pegatron is joining Foxconn and Wistron with a subsidiary in southern India. Pegatron is the second-largest iPhone assembler and the company relies on Apple for more than half of its business.

With a number of factories in China, Pegatron is the second-largest iPhone assembler and depends on Apple for more than half of its business. Like its peers, it will set up in the south of India, according to a person familiar with its plans who asked not to be named. Foxconn, also known as Hon Hai, and Wistron are looking to expand their operations in the country, and Pegatron’s entry can be seen as a defensive move to protect its share of budget iPhone manufacturing, according to Matthew Kanterman of Bloomberg Intelligence.

Earlier this year the Indian government outlined a $6.6 billion plan to attract the world's leading smartphone makers. The country has a vast pool of low-cost, skilled employees, but is generally seen as lacking in other areas like distribution and the presence of a local ecosystem.