Tata Group may complete Wistron’s iPhone plant buyout deal this month: Reports

The takeover will also give  India its first homegrown production line for Apple products.

Sources close to the takeover told The Hindu Business Line that the Indian conglomerate has already started organisational changes at the plant.

However, there are fears of job cuts following the takeover.

Sources told the newspaper around 2,000 factory personnel could be asked to go as part of the takeover process.

The Bengaluru iPhone plant may also see an attrition of 400 mid-level executives. Already about 4- 5 senior level executives have been let go or are in the process of exiting, reports The Hindu Business Line.

Wistron’s Bengaluru plant was the Taiwanese electronics company’s only product line for Apple products in India, with this takeover – Wistron will be completely divesting from the iPhone business in India which is estimated to be worth $600 million.

The factory is located close to Bengaluru.

The move is made at a time when Apple is aiming to focus on India's manufacturing abilities and reportedly try to shift production from China.

Wistron, Pegatron and Foxconn, three Taiwanese firms, currently assemble Apple products in India.

While Wistron announced its plans to leave India’s iPhone business as early as 2020, Foxconn and Pegatron have increased their production lines in India recently, reports The Hindu Business Line.

Industry experts believe that the Tata Group is eyeing manufacturing for Apple to be a golden opportunity, especially as the Indian government is courting Apple extensively to shift its production to India. Industry insiders speculate Tata will potentially acquire Pegatron’s manufacturing units for iPhone once the Wistron takeover is complete, the newspaper reported.