Insider Intelligence delivers leading-edge research to clients in a variety of forms, including full-length reports and data visualizations to equip you with actionable takeaways for better business decisions.
In-depth analysis, benchmarks and shorter spotlights on digital trends.
Learn More
Interactive projections with 10k+ metrics on market trends, & consumer behavior.
Learn More
Proprietary data and over 3,000 third-party sources about the most important topics.
Learn More
Industry KPIs
Industry benchmarks for the most important KPIs in digital marketing, advertising, retail and ecommerce.
Learn More
Client-only email newsletters with analysis and takeaways from the daily news.
Learn More
Analyst Access Program
Exclusive time with the thought leaders who craft our research.
Learn More

About Insider Intelligence

Our goal at Insider Intelligence is to unlock digital opportunities for our clients with the world’s most trusted forecasts, analysis, and benchmarks. Spanning five core coverage areas and dozens of industries, our research on digital transformation is exhaustive.
Our Story
Learn more about our mission and how Insider Intelligence came to be.
Learn More
Rigorous proprietary data vetting strips biases and produces superior insights.
Learn More
Our People
Take a look into our corporate culture and view our open roles.
Join the Team
Contact Us
Speak to a member of our team to learn more about Insider Intelligence.
Contact Us
See our latest press releases, news articles or download our press kit.
Learn More
Advertising & Sponsorship Opportunities
Reach an engaged audience of decision-makers.
Learn More
Browse our upcoming and past events, recent podcasts, and other featured resources.
Learn More
Tune in to eMarketer's daily, weekly, and monthly podcasts.
Learn More

Apple looks to India as manufacturing option to problematic China

The news: Apple confirmed that it started making its new iPhone 14 in India as it looks to diversify its supply chain and reduce reliance on China, per CNN. 

A shift in global strategy: Apple famously manufactures the bulk of its products in China, but the company has started producing the iPhone 14—its most important product— in India. 

  • Apple’s announcement comes at a time of increasing economic tension between the US and China that has left US tech companies seeking supply chain alternatives. 
  • Economic uncertainty, COVID-19-related factory closures, and a worsening political relationship between the US and China are existential threats to Apple’s bottom line. 
  • A report from JP Morgan reveals Apple is likely to move about 5% of iPhone 14 production to India from late 2022 and reach 25% by 2025. 
  • It is also forecast that nearly 25% of all Apple products will be manufactured outside China by 2025 as compared to 5% at present. 

Scrambling for alternatives: Apple may be the biggest company shifting production away from China, but it’s not alone. More US companies are following suit and factory hubs in Malaysia, Vietnam, and India are drawing the most interest.

  • Apple already moved iPad and AirPods production from China to northern Vietnam, per The Verge.
  • Microsoft manufactures XBox consoles from Ho Chi Minh City in Vietnam. Google has similarly taken over an old Nokia factory in Vietnam to make its Pixel smartphones. 
  • Amazon is now making its Fire TV devices in Chennai, India.
  • “The empire of manufacturing in China is being shaken,” said Lior Susan, founder of Eclipse Venture Capital which covers hardware and manufacturing start-ups. “More and more capital is going to pull manufacturing out of China and find an alternative.”

The bigger picture: India has the biggest potential to scale its production facilities to match up with China. 

  • For context, Apple suppliers Foxconn, Winstron, and Pegatron are all making iPhones in India and plan on applying for Production-Linked Incentive (PLI), which offers incentives for mobile manufacturers investing in India.
  • The big challenge will be for Indian factories to replicate the tight operational controls and secrecy by which China’s manufacturing hubs operate.

This article originally appeared in Insider Intelligence'sConnectivity & Tech Briefing—a daily recap of top stories reshaping the technology industry. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.