My fellow Apple fanboys, lend me your ears, for our little birdies have got some big news! You can expect major iPhone price drops when the new iPhone XR and iPhone XS devices hit Indian stores in August. How? Well, you can thank Foxconn’s local unit in India.
Don’t understand what we’re talking about? Ahem, take a seat and pay attention to what you’re about to read. This ain’t no senior-level mathematics, so you shouldn’t have much trouble understanding the reason behind the iPhone price drops.
iPhone Price Drops Explained
By expanding the local assembly line in India, Apple has saved on high import taxes. This is because taxes were levied on the import of fully-built devices. But now, Apple has not only avoided paying high taxes but it also meets local sourcing norms for opening its own retail stores in India. And we are going to take leverage of slashed prices.
Billions of Indians covet Apple’s devices. And why shouldn’t we? What’s not to like about premium products? We might be unhappy about the prices, but hey, third world problems right there, hon. And that’s exactly why Apple took a critical hit. Thing is, with premium quality, Apple products have premium pricing too. And that has limited its market share to a meagre 1 percent against Chinese rivals like OnePlus, Huawei and the likes. Outrageous, isn’t it?
We already have Wistron Corps’ local unit in Bengaluru assembling the lower-cost iPhone SE, iPhone 6S, and iPhone 7 models. With Foxconn making its way through the Indian market, Apple will get the leeway to play with the margins of its distributors. And it is indirectly attributing to the iPhone price drops in the country.
Our Smart Government
In order to make India a hub for smartphone manufacturing, our government is wooing global players.
And what’s there for these global players? You may ask — access to a market of over a billion wireless connections and cheap labour.
Subsequently, this push has met with success. There are global smartphone big brands like Samsung and Oppo that have expanded rapidly in India. Following them, we have contract manufacturers like Foxconn and Wistron ramping up domestic operations. As you can see, the competition seems to be heating up.
And what can be better for us, gadget lovers!